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Cotton Wool & Gauze

Cotton Wool & Gauze Tier 3 Household
Production16,860 t p.a.
Exports0 mg
Value per tonne✦3,818
Revenue✦64.4 m
Value added✦36.5 m
Surplus✦22.9 m
  • Per tonne:
  • Labour ✦375 (Sf 2.34)
  • Materials ✦1,601
  • Capital ✦435
  • Energy ✦50
  • Surplus ✦1,358

Whole chain per tonne: 26.6 labour hours, 1,262 kWh.

Formula

A.C. = w0LhSf Labour ✦375 Shadow wage w0 ✦16 an hour Γ— Lh 10 hours per tonne Γ— skill factor Sf 2.34 Sf for industry: training ✦45,000 against ✦45,000, queue 20 hours against 48 + Ξ£ qiPirΞ»i Materials ✦1,601 Sea Island Cotton: 1.1 t Γ— $1,000/t Γ— r 1.5 Γ— border 0.97 Γ— Ξ» 1.00 = ✦1,601 + (D + Mo)Ξ±e Capital ✦435 Depreciation and maintenance ✦300 per tonne Γ— financing 1.45 Γ— waste factor Ξ±e 1.00 Financing is interest at 6% on equipment's average value over a 15-year life. Ξ±e is 1.00 when maintenance hours and defects are on target. + Epe Energy ✦50 E 1,000 kWh per tonne Γ— pe ✦0.05 per kWh = ✦2,460

A.V. = rP*world Accounted value ✦3,818 per tonne World price $2,500 per tonne plus freight and insurance 1.8% = P* $2,545 Γ— r 1.5 crowns per US dollar Import parity: the price at the Commonwealth border for a good it could otherwise import. Observed abroad, not calculated: a wasteful producer raises only its own cost. = ✦3,818

Revenue = A.V. Γ— Q Accounted revenue ✦64.4 m p.a. Domestic: 16,860 t Γ— ✦3,818 = ✦64.4 m = ✦64.4 m

Surplus = (A.V. βˆ’ A.C.) Γ— Q βˆ’ levies Accounted surplus ✦22.9 m p.a. Revenue ✦64.4 m βˆ’ cost ✦2,460 Γ— 16,860 t = ✦22.9 m Distributed 40% to reinvestment, 20% to the municipal aggregate and 40% swept to the Treasury. = ✦22.9 m

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