In order to calculate the price of the sale of a product first it is important to know how much it costs to produce it. For this factor you will need to consider the expenses made to establish the productive unit, as well as the monthly costs from the own production itself.
Obviously the prices that we are proposing are referential: if you want to begin with a productive unit, you will need to make these same calculations with the real prices of the place you live in.
The investment costs are the costs that must be done before starting out a company. They are divided in:
- General preoperative expenses: (establishment of the company, registration, licenses, capacitating, tests, previous studies, etc).
- Active expenses: (Machinery, materials and tools).
The preoperative expenses vary depending on the case. In this example we will consider $50,00 for the expenses of licenses, registration, market studies etc.
Now we see what could be the initial investment in machines and tools (active spending) for the elaboration. Remember that these prices are only referential and they vary in each place.
Production Costs
These are expenses that are done every month. The variable costs depend on the volume of monthly production (workers, materials and ingredients) and the fixed prices (rent, electricity etc.), which are similar every month.
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