Cost Bureau Experts Contfadict California Figures

In December The California Lumber Merchant published an article by P. J. McDonald, of the Los Angeles Planing Mill Company, on the cost of producing finished lumber.

In our January fifteenth isstre Earl Minton, of Mountain View, Cal., a millwork enthusiast and expert, took excepti,on to Mr. McDonald's figures, and furnished us with a set of cost figures which we published.

Now comes a letter from The Millwork Coast Bureau, 605 North Michigan Ave., Chicago, Ill., which objects to some of Mr. Minton's figures and makes some explanations. The revierv and, chart referred to in this letter are on file at the office of The California Lumber Merchant where they may be seen. The letter folfiows, and we will be glad to hear any further opinions on this important matter:

The California Lumber Merchant, 408 Fay Bl'dg., Los Angeles, Calif.

Gentlemen: Your publication of Jan. 15 on page 27 contains a cost record involving 14,850 lineal feet of stock pic'ture moulding. Shop burden in this calculation is applied at 25 per cent of the labor cost. This method of applying burden, as well as the rate itself is subject to criticism, and it might interest your readers to learn that our experience

We bave rcady for pronpt rhipment from our Bay Point, Cd., plrrnt, a conridcrable quantity of

ZandZx6" and wider

No. I and 2 Clear Cedar, either rough or surfaced

PROMPT SHIPMENT rvith millwork costs, which involves approximately N0 c,ost surveys conducted by ottr accountants, has in no instance encbuntered a shop burden as low as that used by your contributor. Our burden plan, which has been adoptia ly the 500 milflwork plan'ts, constituting our. mem-bership,- is clescribed in the enclosed pam-phlet,- "Ar'e You Apilying Burden P'roperlv." This pamphlet also contains c.iticis-s of incorrect burden procedures. "The Per'centage of Labor Plan" you will observe is among the plans criticized.

The average burden rates of this Bureau's cost-keeping mem,bers are now as follows:

Yard Burden "$5'90

Machine Burden .& Benc'h Burden '38 Commerciatl Burden .n%

Under separate cover we are sending you a gr-aphic chart, and review entitled, "Compa.rative Analysis of Cost." It requires no explanation herein.

If you feel disposed to reproduce in your paper, either in part or in full, any of the material sent you, you have our permission to do so.

Yours very trulY, X{ILLWORK COST BUREAU, H. T. DIDCACH. Technical Director & Ass't. Secretary.

We now have 500'000 I€- in. Fir Lath ready for immediate loading.