Carton Costing Calculation method in Garment Industry.

Introduction:

Carton costing is very much important in garments merchandising. Carton costing is not a tough task that we have normally seemed. This article has shown an easy method for calculating carton costing in apparel industry.

Carton Costing Calculation Method in Garments Industry:

Before calculating carton costing, a garments merchandiser should confirm the following information:

1. Carton length in cm,
2. Carton width in cm,
3. Carton height in cm.

Important tips**
Then, garment merchandiser should calculate ply board consumption for the carton box and multiply with ply board rate.

Now by using the below formula, a garment merchandiser can easily calculate carton box costing in readymade garments industry.

Carton costing (Per pc carton box),
= Ply board consumption (Per pc carton in square meter) × ply board rate (per sq. meter) ………… (1)

Now, one example is enough to remove your all the confusions from the above discussion.

Example:

Suppose, a 5-ply carton having length 65cm, width 45cm and height 12cm. Now calculate Carton box costing for 400pcs carton box. (where, 5 ply board rate is $0.65 per square meter).

Solution:

Here,

Carton length – 65cm,
Width of carton- 45cm,
Carton height – 12cm,
5 ply board rate per square meter- $0.65

Total carton-400pcs.

So,

Ply board consumption (Per pc carton in square meter),

 

= 1.41 square meter per pc carton.

Now, from (1), we get-

Carton costing (Per pc carton box),
= Ply board consumption (Per pc carton in square meter) × ply board rate (per sq. meter)
= 1.41 × 0.65
=$0.92 per pc carton box.

So,

For 1pc carton, carton box costing stands at =$0.92.

And,

For 400pcs carton, carton box costing will be (0.92 × 400) = $368.

Share :

Facebook Twitter Google+