Enter the total cost of the items and the quantity into the calculator to determine the cost per quantity.

## 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