eRO Work Profitability: Houses and HRM

Day 2,647, 05:20 • Published in Romania Romania • by Wolv3rin3X

Good Morning readers,

After analyzing the job market I've started to do some simple math to see what an employer with a salary of 64.5 RON wins.


HRM

For HRM i will talk only for Granite Quarry. Anything bellow is measured in loss.
With Granite Quarry an employer can have 5 employees. Each producing 500 HRM.

For one employee we have:
500 x 0.13 = 65 RON

The profit at a salary of 64.5 is 0.5 RON. You will say that usually the HRM is at 0.14, the only problem is that nobody is buying it at that price.
So for 5 employees you have 2.5 RON profit and you payed for granite quarry 35 gold that is 7700 RON.
You will recover your investment in 3080 days if the bonuses apply.


House Q1

A Q1 house is on the market 293RON. To create one house you need 1000HRM and 2.5 days of work (dow) from one employee.

If you do not produce your HRM than the cost of the house is:
1000 x 0.13 + 2.5 x 64.5 = 130 + 161.25 = 291.25 RON

You will win after 2.5 days the incredible sum of 1.75 RON.
The only problem is that when you sell the house you pay taxes. Taxes for a house at 293 RON are 2.9 RON.

It results that you lose 1.15 CC/ house

The profit changes if you produce your own HRM. 2 Employees are producing 1000 HRM and it is what you need to create the house and we have:
(2+2.5) x 64.5 = 290.25 and you will have a profit of 2.75 RON.

After taxes apply your loss is only 0.15 RON


House Q2

Q2 houses on eRO market costs 574 RON. To create a q2 house you need 2000HRM and 2.5 dow from 2 employees.

The profitability of the q2 house without creating your own HRM is:
2000 x 0.13 +2 x 2.5 x 64.5 = 260 + 322.5 = 582.5 RON
You will "win" - 8.5 RON. Adding taxes from house sell which for a house at 574 RON are 5.68, the loss is 14.18 RON

If you create your own HRM than the situation is slightly different:
(4+2x2.5)*64.5 = 580.5, so you LOSE only 6.5 RON + 5.68 Taxes =12.18 RON.


House Q3

Price for a q3 house is 1150. To create a q3 house you need 4000 HRM. and 3.33 dow with 3 workers.

Will it be any profitability on either of the solutions?

Without creating your HRM:
4000 x 0.13 + 3 x 3.33 x 64.5 = 520 + 644.35 = 1164.35 RON
Taxes are 11.38. Profit: 1150 - 1164.35 - 11.38 = - 25.73

Creating your own HRM:
(8 + 3*3.33) * 64.5 = 1160.355. The loss is 21.73 RON


House Q4

Q4 house costs 2750 RON. To produce it you need 8000 HRM and 5 workers for 4 days. Taxes are 27.22 RON.

The cost of creating a house without HRM creation is:
8000 x 0.13 + 5 x 4 x 64.5 = 1040 + 1290 = 2330
And we have PROFIT: 2750 - 2330 - 27.22 = + 392.78 RON

The cost of creating a house with HRM creation is:
(16+5*4)*64.5 = 2322, and you have a profit of: 400.78

Question for Q4 sellers:
Does Q4 houses sell easy?


House Q5
House q5 is 3650 RON. Taxes for it are 36.13. To create one you need 12000 HRM and 10 employees that work 3 days.

Calculations without HRM creation:
12000 x 0.13 + 10 x 3 x 64.5 = 1560 + 1935 = 3495 => PROFIT of 118.87 RON
Calculation with HRM creation
(24+10*3) * 64.5 = 3483 => Profit of 130.87

Question for Q5 sellers:
Does Q5 houses sell easy?


All this calculation applies to current situation. Day 2647, 4:00 erepublik time, with eRomania having 100% bonus for house industry.

Question for employers: Why do you give that salaries? You all have q4 and q5 house companies?

Best Regards,
Nebunel


P.S. If there is something wrong in my calculations please let me know.
P.P.S. If there is something wrong with my grammar, I DON'T care.


Update 1: 7:34 Erep Time - Salary is now at 65.02 so the HRM is losing 0.02 per worker