Correcting a backbow on a guitar with single action truss rod - Duration: 4:25. Paul Doyle 2,591 views
The cost per unit is commonly derived when a company produces a large number of identical products. The cost is derived from the variable costs and fixed costs incurred by a production process, divided by the number of units produced.
The unit variable cost is simply the variable cost per unit produced. It is the extra cost incurred by producing each additional unit. For example, if the business above produced 100 more units, it would expect to incur additional production costs of $31.