MAHARASHTRA STATE BOARD OF TECHNICAL EDUCATION
GOVERNMENT POLYTECHNIC, GADCHIROLI
Microproject Title –Select any product and prepare its cost sheet.
“Diploma In Computer Engineering”
2024-2025
SUBMITTED BY
Sr.No. Names of Student Roll No. Enrollment No.
1 Om P. Shende 10 2201190073
2 Aniket P. Somankar 13 2201190079
3 Sejal R. Tembhurne 21 2201190092
4 Devkumar K. Roy 26 2201190142
5 Nishant M. Lade 32 2201190082
GUIDANCE BY
Mr. J. M. Meshram
DEPARTMENT OF COMPUTER ENGINEERING
GOVERNMENT POLYTECHNIC GADCHIROLI
1
Index
Sr. No. Topic Page No.
01 Certificate -
02 Submission -
03 Acknowledgement -
Part–A
04 1. Aim 01-02
2. Course Outcome
3. Proposed Methodology
4. Report of the MicroProject
5. Action Plan
4. Resource Required
Part–B
1. Rationale
05 03-09
2. Aim of microproject
3. Course outcome Addressed
4. Literature Review
5. Actual methodology Followed
6. Actual resource used
7. Outputs of Microproject
8. Skilled Developed/ Outcomes of
the Microproject
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GOVERNMENT POLYTECHNIC, GADCHIROLI
DEPARTMENT OF COMPUTER ENGINEERING
CERTIFICATE
This is to certify that the following students of this institute have carried
out thismicro-projectworkon“Select any product and prepare its cost sheet.”
Under the guidance of Mr. J. M. Meshram Sir lecture in Computer during the
session 24-25. This work has been done in the partial fulfilment of the
award for in Computer Engineering from Maharashtra State Board of
Technical Education, Mumbai.
SUBMITTED BY
Sr.No. Names of Student Roll No. Enrollment No.
1 Om P. Shende 10 2201190073
2 Aniket P. Somankar 13 2201190079
3 Sejal R. Tembhurne 21 2201190092
4 Devkumar K. Roy 26 2201190142
5 Nishant M. Lade 32 2201190082
Mr. J. M. Meshram Mr. J. M. Meshram
Project Guide Head of Department
Lecturer in Computer (Computer Engineering)
Dr. A. B. Borade
Principle
Govt. Poly. Gadchiroli
3
GOVERNMENT POLYTECHNIC, GADCHIROLI
DEPARTMENT OF COMPUTER ENGINEERING
SUBMISSION
We, the students of second year of Department of Computer
Engineering, humbly completed this Microproject work on “Select any
product and prepare its cost sheet.” for time to time as described in This
report by our own skill and study between the periods from 24-25.
As per instruction and guidance of Mr. J. M. Meshram and following
students we reassociated with us for this work. However, quantum of
our contribution has been approved by the guide.
PROJECT GROUP MEMBERS
Sr.No. Names of Student Roll No. Enrollment No.
1 Om P. Shende 10 2201190073
2 Aniket P. Somankar 13 2201190079
3 Sejal R. Tembhurne 21 2201190092
4 Devkumar K. Roy 26 2201190142
5 Nishant M. Lade 32 2201190082
GOVERNMENT POLYTECHNIC, GADCHIROLI
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DEPARTMENT OF COMPUTER ENGINEERING
ACKNOWLEDGEMENT
At the most we express our deep sence of gratitude and respect to our Guide Mr.
J. M. Meshram, Lecturer in computer, Government Polytechnic, Gadchiroli. We are
very much grateful to him for the expertise and guidance we have received from her
while working on this Microproject.
We would like to extend our thanks to Mr. J. M. Meshram Head of Department
and
Mr. A. S. Gaikwad Mentor and lecturer in Computer For his encouragement, support
and guidance. We are also grateful toour Principal Dr. A. B. Borade, for encouraging
us from time to time.
We also extend our thanks to all lecturer and other staff of Department for
their co-operation and kind help the Microproject. Finally, we are thankful to
all those who have directly and indirectly help us in completion of these
project work.
PROJECT GROUP MEMBERS
Sr.No. Names of Student Roll No. Enrollment No.
1 Om P. Shende 10 2201190073
2 Aniket P. Somankar 13 2201190079
3 Sejal R. Tembhurne 21 2201190092
4 Devkumar K. Roy 26 2201190142
5 Nishant M. Lade 32 2201190082
Part–A
Micro-Project Proposal
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Select Any Product And Prepare Its Cost Sheet.
1.0 Aims/Benefits of the Micro-Project
The aim of this micro-project, focused on preparing a cost sheet for a T-shirt, is to
understand the breakdown of production costs, including materials, labor, and
overheads, to make informed decisions about pricing and profitability. It helps in
identifying cost-saving opportunities, improving financial planning, and ensuring
efficient resource allocation. The benefits include better financial insight, the ability
to set competitive yet profitable prices, and developing skills in cost analysis and
budgeting. Ultimately, the project supports business sustainability by optimizing
production costs and improving overall efficiency.
2.0 Course Outcomes Addressed
Identify your Entrepreneurial traits.
Identify the business opportunities suitable for you.
Develop comprehensive business plans.
Prepare plans to manage the enterprise effectively.
3.0 ProposededMethodology
First all team members discussed about the topic and select the topic.
All Team Members Collected data from Entrepreneurship Development Book to
get more information about Micro-Project and to know resources.
4.0 Report on microproject
The micro-project report has two parts: First part is 'Project Proposal' about
Camria font of size 14 with Narrow margin of 0.5 centimetres to top, bottom, right
and left in the format given in the Annexure-I. This is related to the planning. The
purpose of this part is to teach the student to plan and to ensure that students
finalize their title and start working. The second part is the micro-project report
(Annexure II) which is to be submitted after the completion of the project prepared
in black and white (and colour printing) of A4 size pages depending upon nature of
the project (excluding the cover page and initial pages ) written in preferably in
cambria font of 14 size with Narrow margins of 0.5 centimetres to top, bottom,
right and left of each page.
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5.0 Action Plan
Sr. Planned Planned Name of Responsible
No. Detail of activity Start date Finish date Team members
05/02/25 10/02/25
1 Literature Review All Team Members
2 Collection Of 11/02/25
Resources 26/02/25 All Team Members
3 Working on project
and 27/02/25 23/03/25 All Team Members
Methodology
4 Report Presentation 25/03/25 05/04/25 All Team Members
6.0 Resources required
Sr. Name of
No. Resource/material Specifications Qty Remarks
1
1. https://youtu.be/UHuvj2mQ8
Reference video 6w?si=9oyqoVPtifIctjHh
Entrepreneurship 1
2. Internet/Reference
Book Development
(22032)
1
3. Other sources
MS Word
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Part-B
1.0 Rationale
To provide a clear understanding of production costs, helping businesses make
informed pricing decisions and identify cost-saving opportunities. It ensures efficient
resource allocation, supports profitability, and improves overall financial
management for long-term success.
2.0 Aims/Benefits of the microproject
The aim of this micro-project is to analyze the production costs of a T-shirt,
covering materials, labor, and overheads, to enable informed decisions on pricing,
cost management, and financial planning. The benefits include identifying cost-
saving opportunities, setting competitive yet profitable prices, and improving
skills in cost analysis, budgeting, and resource management, ultimately supporting
better business sustainability and profitability.
3.0 Course Outcomes Addressed
Identify your Entrepreneurial traits.
Identify the business opportunities suitable for you.
Develop comprehensive business plans.
Prepare plans to manage the enterprise effectively.
4.0 Literature Review
Introduction:
A cost sheet for a T-shirt shows how important it is to understand production
costs for setting the right prices and ensuring business success. According to
Horngren et al. (2013), cost sheets help track both direct and indirect costs, which
helps businesses make better decisions and control expenses. Smith (2017) talks
about how cost analysis is key in the clothing industry to manage materials, labor,
and overheads efficiently. Porter (1985) also emphasizes that knowing production
costs helps businesses stay competitive. Overall, these studies highlight that
having a clear cost breakdown is essential for running a successful and profitable
business.
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Customized T-shirt Cost Sheet (Detailed):
Breakdown of Each Cost Category:
1. Fabric Cost: Fabric selection is critical to the cost and quality of your T-shirts.
Below is a detailed breakdown:
Material Types:
Cotton: Cotton is the most popular fabric used for T-shirts due to its
softness, breathability, and natural feel. It’s widely preferred in the fashion
and casual wear industry. However, cotton fabric prices can fluctuate
depending on quality, type (organic or conventional), and origin (domestic
or imported).
Organic Cotton: More sustainable, but typically more expensive due to
farming practices and certification.
Combed Cotton: A higher-quality cotton that’s smoother, stronger, and
more durable than regular cotton.
Polyester: Polyester is durable, resistant to shrinking, and easier to
maintain. It is often used for athletic wear. It can be cheaper than cotton, but
it’s less breathable and not as soft.
Blended Fabrics: Blends like cotton/polyester are popular because they
combine the softness of cotton with the durability of polyester. Blends are
typically more affordable than 100% cotton T-shirts.
Fabric Weight: The weight of the fabric affects its quality, feel, and price.
Lightweight Fabric: Typically used for summer T-shirts, lighter fabric
weights (4-5 oz) cost less, but may feel cheaper and wear out faster.
Mid-Weight Fabric: Most commonly used (5-6 oz). A good balance of
durability and comfort.
Heavyweight Fabric: Often used for premium T-shirts (6-8 oz). More
durable but costs more.
Fabric Width: Fabrics are sold by the yard (width of fabric). Wider fabric rolls
can cost more upfrontbut can reduce overall cutting and sewing time, making
them more efficient in large production runs.
Waste Factor: For every batch of fabric you order, some of it will go to waste
during cutting and production, especially if you use patterns with complex
shapes. It’s essential to account for this waste factor when calculating the total
fabric cost. Typically, around 10-20% of fabric is wasted.
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Printing methods significantly affect both the cost and the final look of the T-shirt.
Here’s a deeper dive into the common printing methods:
2. Screen Printing:
Process: A stencil (or screen) is created for each color in the design. Ink is
then pushed through the screen to apply the design onto the fabric.
Cost Structure: Screen printing has high setup costs, as you need to create
screens for each color, which makes it most cost-effective in large runs (over
50-100 T-shirts). The cost per T-shirt decreases as volume increases.
Advantages: Durable prints, vibrant colors, and cost-effective for large runs.
Disadvantages: Not ideal for designs with a large number of colors or
intricate details.
Direct-to-Garment (DTG) Printing:
Process: A digital printer sprays ink directly onto the fabric. Similar to how
an inkjet printer works on paper.
Cost Structure: There are no setup costs, so it’s great for smaller orders or
one-off custom prints. However, ink costs can be higher per unit compared
to screen printing.
Advantages: Great for intricate, full-color designs with no color limit.
Disadvantages: Slower printing speed and higher ink usage for large runs.
Heat Transfer Printing:
Process: The design is printed onto transfer paper or vinyl, which is then
applied to the T-shirt using heat and pressure.
Cost Structure: Equipment is relatively affordable, making it a good option
for smaller businesses. The transfer sheets can be costly for full-color designs.
Advantages: Great for low-volume orders and designs with multiple colors
or small details.
Disadvantages: The prints may not be as durable as those from screen
printing and can peel or fade over time.
Embroidery (Not included in the example but worth mentioning):
Cost: Typically, more expensive than printing, especially for multi-colored
designs. Embroidery can add a premium touch to your products, especially
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for logos.
Ideal For: Small logos, corporate branding, or high-end garments.
3. Labor Cost:
Labor costs are directly related to the time and skill involved in producing each T-
shirt. A breakdown of labor factors:
Production Labor:
Cutting: The process of cutting the fabric according to the design pattern.
Typically done manually or using automated cutting machines.
Sewing: The process of stitching the T-shirt together, usually with a sewing
machine.
Printing/Embroidery: Time spent on the printing or embroidery process,
depending on the method used.
Finishing: This can include ironing, tagging, and quality control to ensure each
T-shirt is properly folded and inspected before being packaged.
Labor Hours:
Labor costs are generally calculated by hour or by piecework. In piecework,
workers are paid based on the number of T-shirts they complete. For
example, it may take a worker 15 minutes to sew one T-shirt and 5 minutes
to iron and fold it.
As your production increases, labor becomes a significant part of your total
costs, especially if you are scaling operations.
Labor Efficiency:
As you streamline production and improve worker skill, you can reduce the
time needed to create each T-shirt, effectively lowering labor costs per unit.
4. Packaging Cost:
The way you package your T-shirts impacts your brand image, and can
influence your overall costs.
Simple Packaging:
Poly Bags: Low-cost plastic bags used to protect the T-shirt during shipping.
They’re typically used for basic packaging, but they’re not very
environmentally friendly.
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Tissue Paper: Often used for wrapping the T-shirt inside a box, adding a sense
of presentation.
Branded Packaging:
Custom Boxes or Bags: Custom-designed packaging with your company logo,
colors, or unique designs adds to your brand image and can increase perceived
value
Sustainable Packaging: Eco-friendly packaging (e.g., recyclable bags,
cardboard, biodegradable wraps) may have a higher upfront cost but could
appeal to eco-conscious customers and enhance your brand’s reputation.
Shipping Packaging: If you are selling online, your shipping packaging must
also protect the product during transport, especially if your product is delicate
or prone to damage.
5. Shipping Cost:
Shipping can become one of your most significant expenses, particularly if you sell
internationally. Detailed considerations include:
Shipping Rates: You need to compare different carriers (USPS, FedEx, UPS,
DHL) to find the best rates. Shipping can be expensive if you're sending small
orders over long distances, especially internationally.
Domestic Shipping: Standard rates are usually cheaper for shipping within
your country. You can use services like USPS, which offers flat-rate boxes.
International Shipping: International shipping typically involves customs
duties, taxes, and variable costs depending on the destination country.
Shipping Speed:
Standard: Usually cheaper but takes longer (5-7 business days).
Expedited: Faster shipping (2-3 business days), but more expensive.
Same-Day/Next-Day: Premium, often used for urgent orders.
Shipping Fees to Customers: You may offer free shipping as an incentive to
customers but should account for the costs in your pricing strategy. Some
businesses build shipping fees into the product price to absorb the costs.
6. Overhead Costs:
Overhead costs are indirect costs associated with running the business. These are
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not directly tied to the production process but are essential for smooth
operations.
Facility and Equipment: The cost of renting or maintaining a manufacturing
facility or office space.
Rent: Your monthly or yearly rent for office, warehouse, or factory space.
Utilities: Costs for electricity, water, heating/cooling, internet, etc
Marketing and Advertising:
Advertising: Costs for online ads (Google Ads, Facebook, Instagram),
influencer marketing, and paid promotions.
Branding: Graphic design for logos, packaging, website design, and
promotional materials.
Social Media Management: Hiring staff or using tools to manage your
business's presence on social media platforms.
Software and Tools:
E-commerce Platform: Monthly subscription fees for platforms like
Shopify or WooCommerce.
Accounting Software: Costs for tools like QuickBooks or Xero for managing
finances.
Inventory Management: Systems for tracking inventory levels and sales.
Business Insurance: Liability insurance to protect your business in case of
lawsuits or damage, product insurance, and shipping insurance.
7. Profitability Considerations and Pricing Strategy:
Understanding profit margins and break-even analysis is crucial to setting the
right selling price:
Profit Margin: A higher profit margin is essential for growth and sustainability.
Ensure your total costs are well-understood so you can set an appropriate price to
cover expenses and leave room for profit.
Example: If the total cost per T-shirt is $12.00, and you sell it for $25.00, the gross
profit per T-shirt is $13.00, and the profit margin would be 52%.
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Break-even Point: This is the number of units you need to sell in order to cover
all your costs.
Example: If your fixed overhead is $2,000, and you make $13 profit per unit, your
break-even point is:
$2,000 / $13 ≈ 154 units.
After selling 154 units, you start making a profit.
5.0 Actual Methodology Followed
All team members are discuss on our microproject topic which is “Select
any product and prepare its cost sheet.” We all are collected the
information from Entrepreneurship Development Book. We all distributed
the works in group and go for next process. All of group members worked
on this project. Two Group Members are gathered the information about
Product & Cost Sheet and other members are finalize the Micro-Project. Last
process was we all are taking typing and printing. After all that process our
micro-project was completed.
6.0 Output of Micro-project
Cost Category Description Unit Cost Quantity Total Cost
(INR) (INR)
Cost of fabric (e.g., cotton,
Fabric 4.00 300 1200.00
polyester) for one T-shirt
Cost of printing the design
Printing (e.g., screen printing, direct- 3.00 300 900.00
to-garment) on each T-shirt
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Labor cost for production of
each T-shirt (cutting,
Labor 1.50 300 450.00
stitching, quality control,
etc.)
Cost for packaging each T-
Packaging shirt (polybag, hangtags, 0.50 300 150.00
folding)
Shipping cost per T-shirt
Shipping (domestic or international 2.00 300 600.00
postage)
General overhead costs
Overheads (rent, utilities, marketing, 0.75 300 225.00
office supplies, etc.)
Total cost for 300
Total - - 3525.00
customized T-shirts
8.0 Skills Developed/Learning outcomes of this micro project
1. Cost Analysis Skills – Understanding different cost components such as
material cost, labor cost, overheads, and profit margins.
2. Accounting and Finance Knowledge – Learning about direct and indirect
costs, fixed and variable costs, and their impact on product pricing.
3. Data Collection & Research – Gathering information on raw material prices,
labor costs, and other expenses.
4. Analytical Thinking – Breaking down costs systematically to determine the
total cost of production.
5. Excel/Spreadsheet Skills – Using tools like MS Excel or Google Sheets for cost
sheet preparation.
6. Decision-Making Ability – Analyzing costs and suggesting ways to minimize
production expenses.
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7. Documentation & Report Writing – Preparing a structured cost sheet with
proper formatting and presentation.
8. Business and Entrepreneurship Insight – Understanding how product
pricing impacts profit margins and market competitiveness.
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