How is the cost per dollar calculated for exports?

How to calculate the cost per dollar for export?

When a product is used for export, its cost is accounted for in RMB, the same as for domestic sales.

The dollar cost of an export is the ratio of the total cost of exporting a commodity (in RMB) to the net foreign exchange earnings from the export sale of that commodity (in USD). By calculating the total cost of the commodity export income of one U.S. dollar needs how much yuan, that is to say, how many yuan for one U.S. dollar.

The formula is:

Export dollar cost = total cost of exports (yuan) / net foreign exchange earnings from export sales (foreign exchange)

Export dollar cost is also used to reflect the export of goods profit and loss of an important indicator, the export dollar cost of exports if higher than the bank's foreign exchange rate, the export of a loss; Conversely, it is an illustration of the profitability of exports.

What are the important indicators of the costing of export commodities?

There are two main indicators of economic efficiency in the costing of exports:

Export cost of foreign exchange

(exchange rate)

This indicator reflects the cost of the RMB for each dollar of net foreign exchange earnings of the export commodities. The lower the cost of foreign exchange, the better the economic efficiency of exports, the formula is:

Export cost of foreign exchange = total cost of exports (yuan) / net foreign exchange earnings from exports (U.S. dollars)

Here, the total cost of exports, including the cost of imports (or production), the cost of domestic expenses (storage, transportation, management, expected profits, etc., usually expressed in terms of the cost of the rate of fixed) and taxes. Export net foreign exchange earnings refers to the FOB net foreign exchange earnings after deducting freight and insurance.

Example: the domestic purchase price of a commodity for the RMB 7270 yuan, processing costs 900 yuan, circulation costs 70O yuan, taxes 30 yuan, net foreign exchange earnings from export sales of 11O0 U.S. dollars, then:

Total cost of exports = 727O ten 9O0 +7O0 +30 = 8,900 yuan (CNY) cost of exchange = 89OOO yuan / 11O0 U.S. dollars = 8 Yuan Yuan / U.S. dollar

Export commodity profit and loss rate

The indicator shows that the export commodity profit and loss amount in the total cost of exports as a percentage of the positive value for the profit and negative value for the loss.

Export profit and loss rate = (export RMB net income - total cost of exports) / total cost of exports X100% of which: export RMB net income = FOB export foreign exchange net income X the bank foreign exchange bid price

Profit and loss rate and the relationship between the cost of foreign exchange exchange is: export profit and loss rate = [1-export cost of foreign exchange / the bank foreign exchange bid price]

Export profit and loss rate = [1-export cost of foreign exchange / the bank foreign exchange bid price]

Export profit and loss rate = [1-export cost of foreign exchange / the bank foreign exchange bid price]

See, the cost of foreign exchange is higher than the bank's purchase price, the profit and loss rate is negative. The cost of foreign exchange is lower than the bank's foreign exchange bid price, exports are profitable.