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Should-cost model

Build a per-unit cost from materials, labour, overhead, packaging and an assumed supplier margin, then compare it with a quoted price.

Calculator

FormulaShould-cost = (material + labour + overhead + packaging) ÷ (1 − margin %)

Raw material cost

Estimated per-unit material cost at the comparison basis.

₹

Labour cost

Processing time multiplied by loaded labour rate, per unit.

₹

Manufacturing overhead

Overhead applied to material plus labour.

Packaging & outbound logistics

Per-unit packaging and outbound logistics estimate.

₹

Assumed supplier margin

Net margin assumption applied to the full cost base.

Supplier quoted price

Quoted per-unit comparison price.

₹

Modelled should-cost per unit —