Musings on Material Multipliers -- Dickeson

Do you recall an ancient rule of thumb that said, "Your price should be three times your materials?" I do. Many old-timers (BC—Before Computers) will recollect the rule. Well, if we can do a fair job of estimating materials, why not use some variation of that ancient wisdom? Estimate your materials costs, multiply by three and see what pops up. Remember that the result is not the price. It's just a bogey, a support number, a starting point for evaluating past history, competition, market conditions, which way the wind is blowing and all those elements of a SWAG (Scientific Wild-Ass Guess).