Enter the total cost of the items and the quantity into the calculator to determine the cost per quantity.
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Cost Per Quantity Formula
The following equation is used to calculate the Cost Per Quantity.
CPQ = TC / TQ
- Where CPQ is the cost per quantity ($/quantity)
- TC is the total cost ($)
- TQ is the total quantity
To calculate the cost per quantity, simply divide the cost by the quantity.
What is a Cost Per Quantity?
Definition:
Cost per quantity defines the average cost of one unit of quantity. The quantity can be a single piece or a group of pieces.
How to Calculate Cost Per Quantity?
Example Problem:
The following example outlines the steps and information needed to calculate Cost Per Quantity.
First, determine the cost of the lot. In this example, the cost is calculated to be $1,000.00.
Next, determine the quantity. This lot has a total quantity of 400 items.
Finally, calculate the cost per quantity using the formula above:
CPQ = TC / TQ
CPQ = $1000.00/400
CPQ = $2.5 / quantity
