TABLE 5.--ESTIMATED VARIABLE AND FIXED COSTS FOR FILLING AND WEIGHING
 50-POUND PAPER BAGS ACCORDING TO METHODS


 SMethod A Method B Method A Method B
 Item 4 3 8 6
 stations stations stations stations


 Variable Costs

Cost per hour:
 Labor $ 4.U0 $ 6.00 $ 8.00 $12.00
 Electricity .02 .02 .03 .03
 Repairs .14 .08 .25 .14
 Total $ 4.16 $ 6.10 $ 8.28 $12.17

Cost per 50-pound
 bag (cents) 0.97 1.56 0.97 1.56

 Fixed Costs

Replacement costs:
 Bagging table $ 1348 $ 1148 $ 2189 $ 1789
 Scales 1360 510 2720 1020
 Total $ 2708 $ 1658 $ 4909 $ 2809

Annual fixed costs:a
 Bagging table $ 178 $ 152 $ 289 $ 236
 Scales 180 67 359 135
 Total $ 358 $ 219 $ 648 $ 371


 aComputed as 13.2 percent of replacement costs. The total
percentage is computed as follows: depreciation, 6.7; taxes, 1.0;
insurance, 1.0; interest, 3.0; and fixed repairs, 1.5.