Cost and Return Analysis of Fingeroot Instant Production of Rongkeelek Agriculturer Community Enterprise Group, Amphur Doisaket, Chiangmai

Abstract

The purposes of this research were 1) to analyze the production cost of Fingeroot Instant of Rongkeelek Agriculturer Community Enterprise Group, Amphur Doisaket, Chiangmai, and 2) to analyze the return of Fingeroot Instant there. The population were 145 and 120 of Rongkeelek Agriculturer Community Enterprise Group and related people, Amphur Doisaket, Chiangmaiม in order. The sample were 20 of them by using purposive sampling method, qualitative research, content analysis and summary the issues from the meeting.

The results had found as follow: 1) The cost analysis of Fingeroot Instant Production of Rongkeelek Agriculturer Community Enterprise Group had found that fixed and variable costs were manageable. The selling price per unit covered the production costs and profit. The break-even point was approximately 63 bags per month, which was an achievable target. The payback period was 2 years and 2 months, which was reasonable. The net present value was positive, indicating that this investment was worthwhile. The production was highly to yield good returns in the long term and sustainably generate income for the group., and 2) The production returns analysis of Fingeroot Instant Production of Rongkeelek Agriculturer Community Enterprise Group had found that the profit was sufficient to pay back the investment in 26 months. The break-even point was 3,150 baht per month, which was an achievable target, as the monthly sales revenue of 15,000 baht was five times higher than the break-even point. Production and sales of 300 bags per month depended on market demand. The net present value (NPV) was 8,026.19 baht, indicating that the investment was worthwhile and could generate future returns.