Dyeing Cost Calculation:
Dyeing is the chemical process of transferring dye to textile materials (fibers, yarns, fabrics) to give them color.
A textile engineer who works with wet processing must know about dyeing costs.
Dyeing cost formula:
D.M+D.L+D.E+OH
Here
D.M= Direct Material Cost
D.L= Direct Labor Cost
D.E= Direct Expense Cost
OH= Overhead Cost
That is, Dyeing Cost =(Material Cost + Labor Cost + Expense Cost + Overhead Cost) ÷ Total Order
Example:
A company receives an order to dye 800 kg of fabric. Their daily production capacity is 500 kg. The overhead cost per month including staff salary, electricity bill, plant rent and other expenses is 1.5 lakh taka. The company works in one shift. How much does it cost to dye a kg of fabric with 15% profit? The table below gives the raw materials and their prices.
Serial No.
Items Used
Quantity
Price (Rs.)
1
Reactive Dye 1
5 kg
350 Tk/kg
2
Reactive Dye 2
10 kg
300 Tk/kg
3
Chemical 1
12 kg
120 Tk/kg
4
Chemical 2
20 kg
90 Tk/kg
5
Machine Operators
6 People
350 Tk/Shift
6
Machine Helpers
4 People
270 Tk/Shift
Solution:
Total Shifts = (Total Orders ÷ Daily Production)
= 800 ÷ 500
= 1.6 Shifts
Labor Cost:
Here there are 6 machine operators and 4 machine helpers.
Total Labor Cost = Number of Workers * Total Effective Shifts * Wage per Shift
=(6 * 350 * 1.6) + (4 * 270 * 1.6)
= 3360 + 1728
= 5088 Taka
Material Cost:
Reactive Dye 1 = 5 * 350 = 1750 Taka
Reactive Dye 2 = 10 * 300 = 3000 Taka
Chemical 1 = 12 * 120 = 1440 Taka
Chemical 2 = 20 * 90 = 1800 Taka
Total Material Cost = 7990 Taka
Overhead Cost:
Overhead cost per month is 150000 Taka.
Shift 1.6 for this order
Total Overhead Cost = (150000 * 1.6) ÷ 30
= 8000 Taka
Total Dyeing Cost:
Total Cost = Labor Cost + Material Cost + Overhead Cost
= 5088 + 7990 + 8000
= 21078 Taka
Add 15% Profit = {21078+(21078*15%)}
= 24239 Taka
Total Dyeing Cost Per Kg = (Total Cost ÷ Total Order)
= 24239 ÷ 800
= 30.29 Taka