Cost Accounting Report

Group Members:
O ,iz,n Isr,r (4059)
O Muh,mm,/ 1h,nz,ib (4370)
O $e/ ,h,/ Ahme/ (4518)
O 1ibr,n Kh,i Mobeen (4522)
O $,,/ Ab/u Q,/ir (3467)
!!%
MANUFACTURAR & SUPPLIER
OF PET BOTTLES

Table of Contents
Introduct|on n|story3
Ma[or Compet|tors 3
roducts 3
Se|ected roduct Why we se|ect?4
kaw Mater|a|s
I|ow Chart of the Departments
Labor Used |n Lach Department
Mach|ne's Company rof||e
Mo|d|ng Mach|ne
trusion bow mo/ing (M) m,chines ,re much che,per, wh shou/ I bu injection stretch-bow
mo/ing equipment (I$M)? ................................7
P% otte.......................................7
,tch Processing or M,ss Pro/uction..............................
Per Unit Cost......................................

Intro/uction An/ Histor

This organization work as a manuIacturer and suppliers oI plastic & Pet containers, since 1993 they are working
as a second pioneer oI Pet Industries in Pakistan equipped with latest Nissei A$ injection stretch bow
mo/ing m,chine ,n/ CNC M,chines for /esigning of ow shes. Our product use in Edible Oil industries,
Pharmaceuticals Industries, Tea Industries, ConIectionery Industries, Insecticide Industries, Pesticide Industries,
Lubricant Oil Industries, Pickles Garlic & ginger paste Industries.
M,jor Competitors
1. Transpark
2. Kareem Containers
3. Nursile
Pro/ucts
Loc, Pro/ucts:
They make Dalda bottle (5 liter) and Dalda bottle has three parts itselI bottle, its cap, and handle. They all make
Ior diIIerent Raw materials.
List of their cient, ,s un/er:
/ibe Oi In/ustries
1 Dalda Foods (Pvt) Ltd
2 Habib Oil Mills (Pvt) Ltd
3 Agroprocessecor & ATM Gases (Pvt) Ltd (Soya Supreme)
4 Ahmed Vegetables Oil & Ghee Mills (Sukkur & Rahim Yar Khan)
5 Shujabad Agro Industries (Pvt) Ltd (Eva Cooking Oil)
6 Meezan Cooking Oil
7 Faisalabad Vegetable Oil Mills (Pvt) Ltd. (Kissan Oil)
Agro Oil Extraction (Al-Raee Group)
9 Associate Industries (Pvt) Ltd (Multan & Nowshera)
Pickes & G,ric, Ginger P,ste In/ustries
10 National Foods (Pvt) Ltd
11 Shan Foods Industries (Pvt) Ltd
12 Convenience Foods Industries (Lazaiza)
13 Shangrilla Ioods (Pvt) Ltd
Ph,rm,ceutic,s In/ustries
14 .oodward Pakistan (Pvt) Ltd
15 Hilton Pharma (Pvt) Ltd
16 Macter International
17 Adamjee Pharmaceuticals (Pvt) Ltd
1 Platinum Pharmaceuticals (Pvt) Ltd
19 ZaIa Laboratories (Pvt) Ltd
20 Opal Laboratories ( Pvt) Ltd
21 Zantock Pharmaceutical
%e, In/ustries
22 Tapal Tea (Pvt) Ltd
Insecticide & Pesticide Industries
23 Bayer Sciences (Pvt) Ltd
24 National Insecticide (Pvt) Ltd (JaIIer Brothers)
25 Kings Chemicals (Pvt) Ltd
26 TyIon (Pvt) Ltd
27 A One chemicals Industries
$eecte/ Pro/uct. Wh we $eect?
e selected Habib Oil (5 liter) Bottle because Habib Oil Company order oil bottles in very huge quantity.
R,w M,teri,s:
They purchase raw material Irom Japan and Irom Pakistan.
P,stic P,ck,ging Resins
There are three diIIerent kinds oI Product`s code:
PETE (used Ior bottle)
HDPE (used Ior cap)
PP (used Ior handle)
1 Co/e: P% (use/ for botte)

escriptions
Poetheene %erephth,,te (P%, P%). PET is clear, tough, and has good gas and moisture barrier
properties. Commonly used in soIt drink bottles and many injection molded consumer product containers. Other
applications include strapping and both Iood and non-Iood containers. Cleaned, recycled PET Ilakes and pellets
are in great demand Ior spinning Iiver Ior carpet yarns, producing IiberIill and geo-textiles. Nickname:
Polyester.
Properties
Clarity, strength, toughness, barrier to gas and moisture, resistance to heat.
Pro/uct Appic,tion
Plastic soIt drink, water, sports dink, beer, mouthwash, catsup and salad dressing bottles. Peanut butter, pickle,
jelly and jam jars. Ovenable Iilm and ovenable prepared Iood trays.
Pro/uct with Recce/ Content
Fiber, tote bags, clothing, Iilm and sheet, Iood and beverage containers, carpet, strapping, Ileece wear, luggage
and bottles.
2 HP (use/ for c,p)
escription
High ensit Poethene (HP). HDPE is used to make bottles Ior milk, juice, water and laundry
products. Unpigmented bottles are translucent, have good barrier properties and stiIIness, and well suited to
packaging products with a short shelI liIe such as milk. Because HDPE has good chemical resistance, it is used
Ior packaging many household and industrial chemicals such as detergents and bleach. Pigmented HDPE bottles
have better stress crack resistance than unpigmented HDPE bottles.
Properties
StiIIness, strength, toughness, resistance to chemicals and moisture, permeability to gas, ease oI processing, and
ease oI Iorming.
Pro/uct Appic,tion
Milk, water, juice, cosmetic, shampoo, dish and laundry detergent bottles; yogurt and margarine tubs; cereal
box liners; grocery, trash and retail bags.
Pro/uct with Recce/ Content
Liquid laundry detergent, shampoo, conditioner and motor oil bottles; pipe, buckets, crates, Ilower pots, garden
edging, Iilm and sheet, recycling bins, benches, dog houses, plastic lumber, Iloor tiles, picnic tables Iencing.
3 PP (use/ for h,n/e)
escription
Popropene (PP). Polypropylene has good chemical resistance, is strong, and has a high melting point
making it good Ior hot-Iill liquids. PP is Iound in Ilexible and rigid packaging to Iibers and large molded parts
Ior automotive and consumer products.
Properties
Strength, toughness, resistance to heat, chemicals, grease and oil, versatile, barrier to moisture.
Pro/uct Appic,tion
Catsup bottles, yogurt containers and margarine tubs, medicine bottles.
Pro/uct with Recce/ Content
Automobile battery cases, signal lights, battery cables, brooms, brushes, ice scrapers, oil Iunnels, bicycle racks,
rakes, bins, pallets, sheeting, trays.
ow Ch,rt of the ep,rtments.










Pro/uction
ep,rtment
in,nce
ep,rtment
HR
ep,rtment
A/ministr,tion
ep,rtment
L,bors Use/ In ,ch ep,rtment
They use Iour types oI machines; each machine operates Iive labors. In each department work almost 25
workers in each shiIt.
M,chine`s Comp,n Profie
The machine oI the PET bottle is import Irom Japan. Nissei ASB Machine is the company where they purchase
Irom machines. ASB was one oI the very Iirst pioneers in the PET containers industry. The First ASB Series
machines were shipped to customers during 1977. Since then, we have continued to re-invest heavily into R&D
to maintain ASB as one oI the leading pro-active companies in the world Ior new PET container technology.
Mo/ing M,chine
There are two basic molding method, 1- step and 2-step. In 2-step molding, two separate machines are used, one
Ior injection molding the perIorm, the second Ior stretch blow molding it into the Iinal container shape. In 1-
step machines, the entire process Irom raw material to Iinished container is conducted within one machine,
making it especially suitable Ior molding non-standard shapes (custom molding), including jars, Ilat oval, Ilask
shapes etc. Its greatest merit is the reduction in space, product handling and energy, and Iar higher visual quality
than can be achieved by the 2-step system.
PET Bottle`s machine can produced 2 bottles in 6 second.
trusion bow mo/ing (M) m,chines ,re much che,per, wh shou/ I bu injection stretch-bow
mo/ing equipment (I$M)?
Simply put, a PET bottle made by the ISBM method is stronger, lighter, has better clarity, and is leak prooI
(injection molded neck) than anything else possible by the EBM method. Some containers can only be made by
ISBM, soIt drinks bottles Ior example cannot be molded by EBM.
P% otte
Wh,t is P% resin?
PET is the abbreviation Ior a Polyethylene Terephthalate, more commonly known as polyester in the Iiber
industry. It consists oI carbon, oxygen, and hydrogen, and is one oI the most environmentally Iriendly
thermoplastics available. II it is incinerated only carbon dioxide and water vapor are produced. hen molded
into a container, it produces outstanding strength, toughness and transparency. Since it is Polyester, it means
that used containers can easily be recycled into Iibers Ior clothing and carpets etc., this is already happening in
many countries.
,tch Processing or M,ss Pro/uction:
They produce their bottle in bulk quantities. And their largest customer is Habib Coking Oil Company Ltd.

Per Unit Cost
I%M Actu,
Weight
in gr,m
Weight
+ 5
w,st,ge
M,teri,
R,te per
kg
M,teri,
Cost
Mo/ing
Ch,rges
80
per kg
P,cking+
C,rt,ge
+C,rton
Coor ,s
per
pro/uction
Qu,ntit
%ot,
Cost
C,p
H,n/e
&
Other
A
5-Ltr
oil
100 105.00 17.00 1.69 .40 1.65 2.74 5.56

%ot, Cost Incu/ing Access
34.30