Shoe Maker Question:

What is LOP or Labor Overhead and Profit?

Tweet Share WhatsApp

Answer:

LOP is a critical part of the shoe factories price for a shoe. The factory will add up all the material costs then add the Labor Rate , Overhead and Profit required. The LOP for a shoe can be 30% of the total cost of a shoe. Just a few dollars for a simple skate shoe up to $10 or $15 for a snowboarding boot. Some factories will add a percentage on to the material cost to account for the LOP. Other factories carefully calculate each component.

Download Shoe Maker PDF Read All 101 Shoe Maker Questions
Previous QuestionNext Question
What is the Shoe Master Carton?What is ex-Works Price Purchase Term?