Cost per Unit
Cost per unit, abbreviated as CPU, is how much is spent producing a single unit of a single product or service.
Cost per Unit Formula |
\(\large{ CPU = \frac{ FC \; VC }{ UP } }\) |
Symbol |
\(\large{ CPU }\) = cost per unit |
\(\large{ FC }\) = fixed costs |
\(\large{ UP }\) = units produced |
\(\large{ VC }\) = variable costs |