# Calculation of Earnings and Loss for Garments Industry

Contents

## Calculation of Earnings and Loss for Garments Industry

Calculation of earnings and loss for the garments industry is required to monitor whether factory operation is generation expected revenue or not. Based on your calculation of earnings and loss you can set production target to meet your expected level of profit for your business.

As sewing is one of the main operations of garments, you can take sewing as a factor and calculate earnings accordingly. You can use the same formula for calculating profit or loss of your industry after shipment of your final product.

Let’s see the calculation at a glance.

Suppose, Your Factory’s last 3 Month Expenditure= 1466400\$

So, Per month Expenditure = (1466400\$/3) = 488800\$

So, Daily Expenditure = (488800\$/26) = 18800\$ [if fty run 26 days per month]

Your fty produced = 8800 Units per day

Per GMTS CM= 2.20\$ (It’s vary style to style, you need to calculate style wise from buyer given CM)

Then, Daily Earnings = (8800 X2.20\$) \$ = 19360\$

So, Your Daily Earnings = (19360\$-18800\$) = 560\$

## Template for Calculating Earnings and Loss for Garments Industry

I have developed an excel template to calculate earnings and loss for your convenience. You can use this template for any industry; especially for the production of your daily garment. I hope this will give you a well understanding.  You can download this template for free, just click on daily production & CM earnings report.

### Daily Production & CM Earning Report

This template includes:

1. Production report
2. Production chart
3. Earning calculation and report
4. Per unit CM (Style-wise)

This template can be very helpful for any Garments professional. Based on the output of this template you can prepare your report maintaining professionalism.

You will get not only earnings and loss reports but also production reports. In this way, it will be helpful for everybody to see the actual status of a factory. If you face any problem of understanding then please do not hesitate to contact us.

Calculation of Earnings and Loss for Garments Industry
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