This presentation is our project aboout Determining Unit cost of a company which is Andi Sari Furniture. So basically this presentation is full of calculations rather than explanation.
2. Company Profile
Andi Sari Furniture
Jl. Solo km 11.5 Cupuwatu 1 Kalasan
Established since 1982
Owner = Mr I Wayan Sudiana
Products sold : Various furniture such as chairs,
dining tables, tables, cupboards, with various
shapes
4. Direct Material Used for
Production
Mahony Wood
Price = Rp 1.200.000 m3
Dimension = 2m x 25-28 cm
1 Log = 5 chairs = Rp 240,000/ unit
2 Logs = 1 Wardrobe (2 Doors) = Rp 2,400,000/ unit
2 Logs = 5 Dinning Table = Rp 480,000/ unit
5. Cost of Direct Material
Sanding (coloring) : Rp 600.000
Dope : Rp 600.000
6. Cost of Direct Labour
9 Working hours per day
Monthly salary = Rp 750.000 per month
Salary per Hour =
8. Electricity
Electricity Bills = Rp 1.300.000
Electricity per Day :
Electricity per Hour :
1.300.000
30
= 43.333,33
43.333
9
= 4.814,78
9. Building Depreciation
The total area = 608 m2
Building standard rate (2014) per m2 = 2.000.000
Building cost in 2014 = 608 m2 x 2.000.000/m
=Rp 1.216.000.000,-
Estimated useful life = 40 years
Building depreciation expense per year =
1.216.000
40
= 30.400.000
18. Chairs
Dimension = 60 X 45 X 20 (length of the leg)
Raw material per unit:
Wood = Rp 240.000
Miscellaneous (Melamine + Thinner) = Rp 5.000
Sanding cost per unit=
Doping cost=
600.000
20
= 30.000
600.000
40
=15.000
19. Chair
Direct materials Used to Make 1 Chair
1. Mahony Wood = Rp 240.000
2. Misc Cost = Rp 5.000
3. Sanding = Rp 30.000
4. Doping = Rp 15.000
Total Rp 290.000
20. Chair
Direct Labour
Workers are divided in teams. Each team consists of 2
workers. One team could complete 5 chairs in two
days.
Salary for 1 worker is Rp 50.000 per day
Salary per hour =
50.000
9
= 5.555
21. Chair
Salary of making 5 units of chair =
Salary of making 1 unit of chair =
Salary for 2 working making a chair =
5.555´18hours =100.000
100.000
5
= 20.000
20.000´2=40.000
22. Chair
Electricity used to make 1 chair
5 chair = 18 hours (9 hours x 2 days)
Cost of 1 unit of chair =
(4.814,78´18)
5
=17.333
23. Chair
Building depreciation
5 chair = 2 days
1 month = 75 chairs
Depreciation of building to make a chair =
2.533.333
75
= 33.777
25. Chair
Depreciation of wood cutter to make a chair = =
354
Depreciation of refining wood to make a chair =
= 250
Depreciation of syringes to make a chair
= = 42
Depreciation of tool rub to make a chair
= = 78
26. Chair
Equipment Depreciation in Chair:
1. Computer = Rp 2.147
2. Wood cutter = Rp 588
3. Refining wood = Rp 250
4. Syringes = Rp 42
5. Tool rub = Rp 78
Total = Rp3.105
27. Chair
Total Manufacturing Overhead:
1. Electricity Cost = Rp 17.333
2. Building Depreciation = Rp 33.777
3. Equipment Depreciation = Rp 3.105
Total = Rp 54.215
28. Chair
Cost to make a chair using Absorption Method:
Direct Material = Rp 290.000
Direct Labor = Rp 40.000
Manufacturing Overhead Cost = Rp 54.215
Total = Rp 384.215
Sell price = Rp 700.000
Profit = Rp 700.000-Rp 384.215
= Rp 315.785
30. Cupboard (2 Doors)
Dimension = 120 X 80 X 210
Raw material : 2.400.000 / unit
Miscellaneous 75.000(hinge, lock system, thinner
and melamine)
Sanding per unit =
600.000
3
= 200.000
Doping per unit =
600.000
6
= 100.000
31. Cupboard (2 Doors)
Direct Materials are:
1. Mahony Wood = Rp 2.400.000
2. Miscellaneous = Rp 75.000
3. Sanding = Rp 200.000
4. Doping = Rp 100.000
Total of Direct Material = Rp 2.775.000
32. Cupboard (2 Doors)
Workers are divided in teams. Each team
consists of 2 workers. One team could
complete a cupboard in three days.
Salary for 2 workers to make a cupboard
=2 5.555 × 27 = 299.970
33. Cupboard (2 Doors)
Manufacturing Overhead
To make a cupboard, it needs 3 days
Electricity cost for a unit of cupboard= 4.814.78 ×
27 = 129.999
1 month = 10 Cupboards
Depreciation of building to make a cupboard
=
2.533.333
10
= 253.333
34. Cupboards ( 2 Doors)
Computer depreciation to make a cupboard
= 5.368 x 3 days = 16.104
Depreciation of wood cutter to make a cupboard
= Rp 885 x 3 days = Rp 2.655,-
Depreciation of refining wood to make a cupboard
= Rp 625 x 3 days = Rp 1.875
35. Cupboards ( 2 Doors)
Depreciation of syringes to make a cupboard
= Rp 104 x 3 days = Rp 312
Depreciation of tool rub to make a cupboard
= Rp 194 x 3 days = Rp 582
36. Cupboards (2 Doors)
Equipment Depreciation in a cupboard:
1. Computer = Rp 16.104
2. Wood cutter = Rp 2.655
3. Refining wood = Rp 1.875
4. Syringes = Rp 624
5. Tool rub = Rp 582
Total = Rp 21.840
37. Cupboard (2 Doors)
Total Manufacturing Overhead:
1. Electricity Cost = Rp 129.999
2. Building Depreciation = Rp 253.333
3. Equipment Depreciation = Rp 21.840
Total = Rp 405.172
38. Cupboard (2 Doors)
Cost to make a cupboard using Absorption Method:
1. Direct Material = Rp 2.775.000
2. Direct Labor = Rp 299.970
3. Manufacturing Overhead Cost = Rp 405.172
Total Unit Cost of a Cupboard = Rp 3.480.142,-
Selling Price = Rp 4.100.000
Profit = Rp 4.100.000 – Rp 3.480.142
=Rp 619.858
40. Dinning Table
Dimension : Dimensi 120 X 100 X 75
Raw material : 480.000 / unit
Miscellaneous (Melamin + Thinner) = Rp 5000
Sanding per unit = = Rp 60.000
Doping per unit = = Rp 30.000
41. Dinning Table
Direct Materials are:
1. Mahony Wood = Rp 480.000
2. Misc (Melanin + Thinner) = Rp 5.000
3. Sanding = Rp 60.000
4. Doping = Rp 30.000
Total = Rp 575.000
42. Dinning Table
Salary for two workers making a dinning table= 2)=
Rp 100.000
To make 1 dining table, it cost == Rp 43.333
Depreciation of building to make a dining table=Rp
84.444
43. Dinning Tables
1 month = 30 Dinning Tables
Computer depreciation to make a dining table
=Rp 5.368
Depreciation of wood cutter to make a dining table
= Rp 885
Depreciation of refining wood to make a dining
table = Rp 625
44. Dinning Table
Depreciation of syringes to make a dining table
= Rp 104
Depreciation of tool rub to make a dining table
= Rp 194
45. Dinner Table
Equipment Depreciation in a dining table:
1. Computer = Rp 5.368
2. Wood cutter = Rp 885
3. Refining wood = Rp 625
4. Syringes = Rp 104
5. Tool rub = Rp 194
Total Equipment Depreciation = Rp 7.176
46. Dinner Table
Total Manufacturing Overhead:
1. Electricity Cost = Rp 43.333
2. Building Depreciation = Rp 84.444
3. Equipment Depreciation = Rp 7.176
Total Manufacturing Overhead = Rp134.953
47. Dinner Table
Cost to make a dining table using Absorption Method:
1. Direct Material = Rp 575.000
2. Direct Labor = Rp 100.000
3. Manufacturing Overhead Cost = Rp 134.953
Total Unit Cost of a Dining Table = Rp 809.953
Selling price = Rp 1.400.000
Profit = Rp 1.400.000 – Rp 809.953
= Rp 590.047