Kristal Walton, County Director Child Welfare Concerns: Marcus Jones, District Director Address: 401 W. Commerce Oklahoma City, OK 73109 Phone: (405) 644-5700 1-800-884-1532 Fax: (405) 644-5772 Hours: 8 a.m.- 5 p.m. Monday - Friday Get directions: Map it!
What it is: Cost per unit is a measure of a company's cost to build or create one unit of product. For example, let's assume it costs Company XYZ $10,000 to purchase 5,000 widgets that it will resell in its retail outlets. Company XYZ's cost per unit is: $10,000 / 5,000 = $2 per unit.
Thus average fixed cost is the fixed cost per unit of output. Suppose for a firm the total fixed cost is Rs. 2,000 when output is 100 units, average fixed cost (AFC) will be Rs. 2,000/100 = Rs. 20 and when output is expanded to 200 units, average fixed cost will be Rs. 2,000/200 = Rs.