Current date/time is Tue Nov 24, 2009 8:39 am

Post a reply

Post a reply
 

HTML is OFF
BBCode is ON
Smilies are ON

  
Options


Jump to:  

Topic review

soaldanjawaban

by Admin on Tue Nov 18, 2008 9:57 am

Calculation
A certain business investment will operate with the production of 120,000 units of product/year. Production is forecasted to be stable during the first initial one year. Cost per unit to produce the 120,000 units are:
Rupiah
Raw material cost 3,000
Direct labor cost 1,000
Factory overhead cost 1,200
Production cost 5,200
Selling price 7,000

Product operation stages are:
First stage of raw material (stocks) 3 months
Stage of product in process 1 month
Stage of finish product 2 months
Stage in credits 3 months

Question:
Decide the amount of working capital needed to produce monthly 10,000 units of product if it is known that the minimum cash amount needed is Rp. 20,000,000.-
Your answer should include all calculations such as:
1. the total production cost
2. total raw material cost
3. total direct labor cost
4. total factory overhead cost
5. gross profit in related stages
6. total fund for working capital.


The reason why the entrepreneurs need to assess the feasibility of their business ideas thoroughly is to minimize risk associated with the new start-up business.

The point of selling with regard that the people’s backgrounds and preferences vary from place to place is because you cannot take a popular, locally produced product and expect it to sell in different geographical regions with different community make-ups.
(that’s why you need to know their background and gain as many information as you can about their preferences, lifestyle, social life, etc.


In market feasibility analysis, trends indicate whether consumers like the particular products and demand them in the marketplace. It makes this a good place to begin your feasibility analysis.

Upward moving trend indicate growth in particular markets and growth indicates market for value added for entrepreneurs. Thus, trends allow entrepreneurs to estimate the feasibility of marketing and distributing products in markets other than their local area by taking into account all consumers (nationwide and global) and by identifying upward moving or emerging trends and market products within those categories.