I.
Manufacturing Cost
A. Direct Production Cost
1. Raw Materials
2. Operating Labor
3. Direct Supervisory
Clerical Labor
4. Utilities
5. Maintenance & Repair
6. Operating Supplies
7. Laboratory Charges
8. Patent & Royalties*
B. Fixed Charges
1. Depreciation
2. Local Taxes
3. Insurance
4. Rent*
5. Financing
C. Plant Overhead Cost
I. Manufacturing Cost (A+B+C)
II. General Expenses
A. Administrative
B. Distribution & Marketing
C. Research & Development
II. General Expenses (A+B+C)
Total Production Cost (TPC)
Cost
Mass Balance
Plant Capacity and Type of
Processing
& 10 - 20% of Operating Labor
Mass & Energy Balance
Dependent on FCI (particularly
Total Cost of Equipment) 2 – 10% of FCI
10 - 20% of Maintenance & Repair
10 - 20% of Operating Labor
(Optional)
Dependent on FCI (particularly
Total Cost of Equipment) 10% of FCI
Dependent on FCI 1 – 4% of FCI
Dependent on FCI 0.40 – 1% of FCI
(Optional)
Interest from Capital Loan
50 – 70% of Op. Labor, Supervision,
and Maintenance & Repair
15% of Op. Labor, Supervision, and
Maintenance & Repair
2 – 20% of TPC
5% of TPC
I + II