Enter the total cost and the total number of units into the calculator. The calculator will evaluate and display the average fixed cost of the good.

Fixed Cost Formula

The following equation can be used to calculate the average fixed cost of a service or good.

FC = TC / U

  • Where FC is the fixed cost
  • TC is the total cost
  • U is the total units sold

Fixed Cost Definition

A fixed cost is a measure of the average fixed cost per unit of a service or product.

Fixed Cost Example

How to calculate fixed cost?

  1. First, determine the total cost.

    Measure the total cost for the entire production.

  2. Next, determine the total units.

    Calculate the total units produced during the same time frame.

  3. Finally, calculate the fixed cost.

    Calculate the average fixed cost per unit using the formula above.

FAQ

What is a fixed cost?

A fixed cost is typically considered the average cost per unit of production or some manufactured or produced good.

fixed cost calculator
fixed cost formula