• MCU is the maintenance cost per unit ($/unit) • #U is the number of units produced ## How to Calculate Maintenance Cost? The following example problems outline how to calculate Maintenance Cost. Example Problem #1: 1. First, determine the maintenance cost per unit ($/unit). The maintenance cost per unit ($/unit) is given as 5.5. 2. Next, determine the number of units produced. The number of units produced is provided as 300. 3. Finally, calculate the Maintenance Cost using the equation above: MC = MCU * #U The values given above are inserted into the equation below: MC = 5.5 * 300 = 1650.00 ($)

Example Problem #2:

The variables needed for this problem are provided below:

maintenance cost per unit ($/unit) = 2.40 number of units produced = 600 Entering these values and solving gives: MC = MCU * #U = 1440.00 ($)