188 



SELLING LUMBER 



deck until the lumber passes the trimmer leaving the mill, from 

 $1 to $1.50 per thousand feet. 



In looking over the figures covering the comparative cost of 

 shipments prepared by the Southern Pine Association, and covering 

 a large number of mills, the following amounts cover the cost of 

 sawmill manufacturing. These figures cover a three months' 

 period during January, February and March, 1916, inclusively, and 

 are per thousand per board measure. 



Operating labor, log pond to sorting chain $ 1.562 



Depreciation on the plant 698 



Association Taxes ; 24 



Figures on Insurance (fire and tornado) 162 



Insurance (liability) 041 



Office expenses 205 



General expenses, including overhead 436 



Interest on 50% of capital invested in the busi- 

 ness at 5% 984 



Add to the above figures the cost of logs in the 



pond for the same period, which was 7.141 



The total cost of green lumbef on the sorting 



chain was $11.469 



In closing wish to say that all mills do not use the same 

 methods of figuring cost, hence do not get the same results. The 

 Southern Pine Association is making a strong effort to have all its 

 subscribers figure cost on same basis and by so doing get at final 

 The Need figures in some way, which will enable comparison to be made, 

 of Uniform This uniform cost accounting undertaken by the Association should 

 Accounting have the su PP ort of ever y subscriber. Let me suggest that the 

 more you salesmen know about the cost of production, the better 

 equipped you are to sell lumber at a profit and that is what is neces- 

 sary to make the producing and marketing of Southern Pine Lum- 

 ber successful. 



