Hi all!
I'm wondering if someone can help.
I'm putting together costs of a product and need help with how to bring in a labour cost.
The product is a 3 day food plan, breakfast lunch and dinner with two snacks delivered once a week with the meals changing every time.
I can calculate the costs of the food and packaging but I am not sure how to account for the production of the food?
Labour for the day is $75 for an 8 hour day of producing the food.
so $9.38 per hour.
If I sell one plan that day, labour is $75, if I make 2 plans thats obviously half and so on. As I don't know what my sales are how do I calculate a price?
Do I just have a guesstimate and say, maybe I will have 20 plans sold, so the labour for each plan is $3.75?
I do have an accounting background, but cost accounting has always been my downfall! Any help or advice would be greatly appreciated!!
Thanks
Carl
I'm wondering if someone can help.
I'm putting together costs of a product and need help with how to bring in a labour cost.
The product is a 3 day food plan, breakfast lunch and dinner with two snacks delivered once a week with the meals changing every time.
I can calculate the costs of the food and packaging but I am not sure how to account for the production of the food?
Labour for the day is $75 for an 8 hour day of producing the food.
so $9.38 per hour.
If I sell one plan that day, labour is $75, if I make 2 plans thats obviously half and so on. As I don't know what my sales are how do I calculate a price?
Do I just have a guesstimate and say, maybe I will have 20 plans sold, so the labour for each plan is $3.75?
I do have an accounting background, but cost accounting has always been my downfall! Any help or advice would be greatly appreciated!!
Thanks
Carl