unit cost


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Unit Cost

The amount that a company spends to produce or purchase one unit of a good or service. For example, if a company buys 100 widgets for $100, the unit cost is $1.

unit cost

see AVERAGE COST.
References in periodicals archive ?
Notations Variable Descriptions UC Unit cost [C.sub.M] Material cost per unit [P.sub.C] Process percentage from beginning to the during production inspection process [C.sub.C] Conversion cost per unit [C.sub.I1] The during production inspection cost [Pr.sub.1] Probability of passing the during production inspection process [C.sub.I2] The after production inspection cost [Pr.sub.2] Probability of passing the after production inspection process Tab.
At the same time, the risk management approach gave them the ability to use the vehicle unit cost tool to measure and analyze their processes, allowing them to improve, then exercise control over their work.
One possible way out, in my opinion, is to compare the equilibrium unit cost of talent in a win maximization league with the unit cost of talent in a profit maximization league, where playing talent is assumed to be paid in accordance to its marginal revenue.
To compare, the unit costs for capacity expansion were then estimated at 63 cents/barrel for Qatar, about 39 cents for Kuwait (before Iraq's invasion), 23 cents for Iraq, 75 cents for Iran, 73 cents for Libya, $2.80 for Algeria, and $5.41 for Nigeria.
There are generally two methods for estimating construction work: the unit cost method and the time and material method.
His simplistic plan exemplified basic accounting technique: He created a product unit cost for each item to be sold and priced all his menu selections at cost.
"The ability of OmniLink to help pharmacists improve the quality and efficiency of pharmaceutical care is consistent with the managed pharmacy benefit trend to lower administrative costs and unit cost of prescriptions while improving proper utilization of pharmaceuticals and thus patient outcomes," Flynn said.
Use the Compumix program to determine the current unit cost of an apple pie.
He relates this to the well-known "learning curve" in economics, where the unit cost of production in a plant, firm, or industry declines rapidly at first as production experience is accumulated, but gradually flattens out.
The unit cost of this product is $2,512.50, while the unit revenue is $3,405.00 and the unit profit is $892.50.
Programs which utilize IPs often offer more hours of PAS, presumably due to the lower per unit cost (Litvak & Kennedy, 1991 a).