Lesson 4. LETS FIND COST / COSTING

Where the environment itself,
Nourishes the ambition to succeed,
There will occur the 'Sanskar',
For youth to be 'Achievement Motivates'. 

Udyam Shastra Chapter - 4 Verse 4
Key Objectives:

This module helps the child to develop the sense of estimation of quantity and cost.

  • To develop ability to estimate quantity of raw materials.
  • To develop the ability to explore for Information.
  • To develop the ability of comprehension of Information.
Concepts:
  • Cost Of Raw-Material

    The total cost of Raw Materials that go in making of an article.

  • Cost of a Product

    Total cost incurred in making a product including the cost of Raw Material , labour and packing.

  • Raw Material

    Material that is required and forms a part of an object or article.

  • Processing

    The series of activities carried out on Raw Materials to convert them into a product.

  • Labour

    The people involved in making of a product.

  • Labour Cost

    The payment made to the people involved in making the product.

Skills: The students activity is designed to clarify the CONCEPTS of the module and develop some "ENTERPRISE SKILLS" (E. Skills). The E.Skills included in a module may not be exhaustive but are only indicative. E.Skills stated in modules elsewhere may also get addressed through the activities of a module.:
  • Cost Estimation

    With this activity children learn to calculate the cost of Raw Material , labour and other expenses in making of a product.

  • Exploration

    Children learn to try more than one option for getting information or doing things.

  • Decision Making

    To decide upon the correct information or alternatives to suit the requirement.


Activities:

 ACTIVITY 1- Lets Go Shopping

For this activity the teacher needs to make a box called 'Central Information Tank' [C.I.T] . The C.I.T. contains chits with the per unit rate of materials needed for making Bhel. Use the following list as a guideline for making chits. The teacher may use a variety of materials . The teacher may also replace Bhel with items like Sandwich or any other local item. The teacher may update the price list with the latest rates. The teacher must put in a lot of extra chits stating the cost of materials not needed for making Bhel.

Teacher distributes the list of materials :
List 1 : Shopping list for making Bhel
5 kg Kurmura 
1 kg Sev 
50 Paper plates 
100 gms Chilli 
200 gms Pudina 
200 gms Puri 
500 gms Tomato 
100 gms Tamarind 
100 gms Jaggery 
200 gms Coriander 
2 packs Mix Masala + Salt 
500 gms Onion 
500 gms Boiled Potato
Paper chits - 5 copies of each items as follows :
1 kg Kurmura = Rs. 25
1 kg Sev = Rs. 80 
1 kg Tomato = Rs. 16
1 kg Onion = Rs. 6 
1 kg Boiled Potato = Rs. 10
100 gms Coriander = Rs. 5 
100 gms Pudina = Rs. 4 
100 gms Puries = Rs. 8 
100 gms Tamarind = Rs. 6 
100 gms Jaggery = Rs. 4
2 packs Mix Masala + Salt = Rs. 3 
100 Paper plates = Rs. 20
[Do not forget to add chits stating cost of materials not needed in making of Bhel.]

LETS GO SHOPPING

INSTRUCTIONS TO STUDENTS

  • Form groups and select a team manager.
  • Pick a list for shopping. The list includes things required for making ‘Bhel’ for all in the class. Read it carefully.
  • You need to find the cost of each material from the ‘Central Information Tank’ [C.I.T] placed by the teacher on the table.
  • Form lines group wise.
  • At the blow of whistle one student comes from each group and picks up a chit from C.I.T showing the cost of any one of the material needed for making Bhel and goes back. Another student comes to C.I.T. only when the first reaches the line. Second  student picks up another chit from C.I.T. and goes back.
  • After your group gets all essential informations, calculate the total cost of all the things listed.
  • Inform the class about the total cost of  making Bhel for your class.

ACTIVITY 2- WHAT’S THE COST OF MY SHIRT?

This activity should be done by each child individually. Distribute the worksheet for activity 2 at the end of activity 1. Give necessary instructions and allow the child to work separately taking help of friends, family members and relatives to obtain essential information. In the next session allow group discussions and group presentations.


INSTRUCTIONS TO STUDENTS

  • This activity should be carried out by individual student.
  •  You are given one weeks time.
  •  You can take help of family, friends, neighbours or any one to find answers.

1.What is the colour of the shirt you want to make ? ______________________________________________________________________________


2.How much cloth will be needed ? ______________________________________________________________________________


3.What is the cost of 1 metre cloth chosen for your shirt ? ______________________________________________________________________________


4.How much would you spend on the cloth totally ? _________________________________________________________________


5.How much would you pay for the stitching ? ______________________________________________________________________


6.How many buttons will be used ? ______________________________________________________________________________


7.How much would it cost for the buttons ? ________________________________________________________________________


8.Would you like an embroidary on it ? ____________________________________________________________________________


9.How much extra would it cost for embroidary ? ____________________________________________________________________


10.What would be the total cost of your shirt ? ______________________________________________________________________