It has primarily developed to meet the needs of management. It is used in preparing projected financial statements. Yarn Spinning Mill So that, this 8 hour shift of calculation is one of the most crucial calculation for any production industry. For the purpose of ascertaining cost, the whole organisation is divided into small parts of sections. In general for a spinning mill ,contribution per kg ofa particular count is calculated to work out the economics for a new project as well as for a running mill. It does not give the data regarding costs by departments, products, processes and sales territories etc. DIRECT COST: These are the costs which are incurred for and conveniently indentified with a particular cost unit, process or equipment. Financial accounting does not fully analyse the losses due to idle time, idle plant capacity, inefficient labour, sub-standard materials, etc. For a spinning mill, costs of rawmaterial used, packing material, freight etc are direct costs Indirect Cost These are general costs and are incurred for the benefit of a number of cost units, processes or departments. Cost Accounting Cost Accounting is a system of determining the costs of products or services. Certain costs change in sympathy with production level while other costs remain unchanged. A cost unit is defined as a " unit of product , service or time in relation to which cost may be ascertained or expressed." The method of costing to be applied in a particular concern depends upon the type and nature of manufacturing activity. In other words, when volume of output increases, total variable cost also increases and vice-versa. Drawframe contributes a lot to the yarn quality and the ringframe and winding machine working. A combination of factors – operational as well as commercial, governs the profitability of a spinning mill, some of which vary with volume of production. Even good condition machines are available at scrap rate. Because, STEP NO. Cost accounting is a system of determining the costs of products or services. is concerned with computation of actual costs. TECHNIQUES OF COSTING: These techniques may be used for special pupose of control and policy in any business irrespective of the method of costing being used there. The difference between yarn selling price (YSP) and raw material cost (RMC) is a measure of commercial performance which is also known as net output value (NOV). The terms direct and indirect should be used in relation to the object of costing. Assumptions – Regular costing assume ideal production cost or average production cost, while actual costing is taking the real cost of a batch. The following table gives the requirement of produciton machines. 33. For a spinning mill, costs of rawmaterial used, packing material, freight etc are direct costs INDIRECT COST: These are general costs and are incurred for the benefit of a number of cost units, processes or departments. 1.1 Short-staple yarn spinning Spinning is defined by Barker as the “ art of throwing a number of more or less short fibres together in such a way that, being drawn out to form a comparatively fine filament ” [ 13 ]. Saleable waste is realized in the same month. These costs cannot be conveniently identified with a … It reveals profitabale and unprofitable activities. Study the existing costing method of costing and suggesting the appropriate method of costing suitable for the mill based on their count pattern. Standard costing: This is the valuable technique to control the cost. Apr 21, 2009 For a spinning mill, costs of rawmaterial used, packing material, freight etc are direct costs. vrtnieuws.net - Dejaeghere Spinning Mills is failliet di 20/02/07 - Het textielbedrijf Dejaeghere Spinning Mills is failliet verklaard. It helps in evaulating performance. 52. Project costing for a POLY/COTTON PLANT with autodoffing and link to autoconer:(IN INDONESIA). One should not look for cheaper machine. It is better to use 50% PLN and 50 % own generation. It is concerned with the ascertainment of past, present and expected future costs of products manufactured or services supplied. This is the valuable technique to control the cost. INTTRODUCTION: It is better to review the basics concepts, costing methods and techniques and elements of costing before we work out a costing for a spinning mill. An item of cost may be direct cost in one case and the same may be indirect in the other case.It is the nature of business and the cost unit chosen that will determine whether a particular cost is direct or indirect. 11:39 syed INTRODUCTION: It is better to review the basics concepts, costing methods and techniques and elements of costing before we work out a costing for a spinning mill. Bad buffing in ring frame can increase the imperfections by 15%. Spinning mill costing. Your are not logged in . Resources should not be wasted on collecting and compiling cost data not required. Fixed cost is treated as period cost and no attempt is made to allocate or apportion this cost to individual cost centres or cost units. Cost accounting is a system of determining the costs of products or services. Send Email: [email protected] Submit Message Inquiry Online. TOPIC Page No. In general for a spinning mill ,contribution per kg ofa particular count is calculated to work out the economics for a new project as well as for a running mill. Dear forum members I am working in a spinning mills as an asst. The method of costing to be applied in a particular concern depends upon the type and nature of manufacturing activity. Automation of the spinning mill is the solution for the non availability of trained work force. For a spinning mill, costs of rawmaterial used, packing material, freight etc are direct costs. 2. is the process of predetermining costs of goods or services. It reveals profitabale and unprofitable activities. Send Email: [email protected] Submit Message Inquiry Online. THis is the reason why costing is important for a running mill. 2. Dear Forum Memebrs I am working in a spinning mill, I prepared costing sheets, i required one formula in costing sheet. (without land & building cost) you can start a unit with 3000 spindles. 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