Cost finding in woolen and worsted mills
Abstract
From a business standpoint it is of vital importance for every manufacturer to know the cost of each fabric made in his mill. Without such knowledge the business of manufacturing becomes guesswork and the manufacturer may find too late that his goods have been sold at a loss because of too low an estimate of cost or that they have not been sold at all because the price was fixed above the market as a result of the cost estimate being too high. The diversity in textile fabrics is so great and the conditions of manufacture vary so widely in different mills that it is impossible to give general directions for cost finding that would suit every case. All of the operations of converting raw material into the finished product may be carried on in one mill. Frequently' however, the material is taken in a partially manufactured condition from one mill to another, where the work is advanced or completed. Some parts of a fabric may be made from the raw stock in one mill, while other parts of the same fabric may have been made in several mills.