Definition of One Unit Cost of Sales Per Unit Direct Labor Labor Cost per Hour A Time in hours to make 1 unit B Direct Labor Cost Per Unit AB Total Direct Labor Per Unit ID: 553768
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Definition of One Unit
Definition of One UnitCost of Sales Per UnitDirect Labor(Labor Cost per Hour) (A)Time (in hours) to make 1 unit (B)Direct Labor Cost Per Unit (A)*(B)$$Total Direct Labor Per Unit$Material DescriptionCost/Total QuantityCost Per Unit ($)Total Material Cost Per Unit$Variable Costs Per Unit (shipping, commission, packaging, transportation)$Cost of Sales Per Unit (labor +material+vc)$
8Slide2
Business Model
Description of ExpensesVariable Material ExpensesTotal: $2.17Item$Envelopes$0.05Pillow Cases$1.12Ink $1.00Fixed ExpensesTotal: $115.30Item$Advertising$8.00Depreciation$57.30Utilities$20.00Rent$20.00Economics of One UnitSelling Price$25.00 Cost of var. materials exp.$2.17 Cost of labor $8.25 Other variable costs$1.00Total COGS/ COSS$11.42Contribution Margin$13.58Definition of One UnitOne Hero Hug Pillow CaseMonthly Break Even Units$115.30=8.49≈8 Hero Hug pillow cases$13.58Slide3
Business Model
Description of ExpensesVariable Material ExpensesTotal: $0.80Bubble mailers0.14Cellophane bags0.02Labels0.13Bracelets0.50Fixed ExpensesTotal: $69.00Rent/Utilities15.00Inventory20.00Depreciation7.00Advertising27.00Economics of One UnitSelling Price$20.00 Cost of var. materials exp.$0.80 Cost of labor 0.14 Other variable costs1.00Total COGS/ COSS$1.94Contribution Margin$18.06Definition of One UnitOne Love Afrikka BraceletMonthly Break Even Units$69.00=3.820≈4 bracelets$18.06Slide4
Description
of ExpensesVariable Material ExpensesTotal: $ 243.66Wireless Headphone$ 194.40 Wireless Adapter $ 12. 96 Mp3 Player $ 2.35Speaking Phrase Translators $ 33.95 Fixed ExpensesTotal: $ 590.97Utilities/Rent$ 15.00 Depreciation $ 37.47Advertising 1.00Insurance $ 37.50 Salaries $ 500.00Business ModelEconomics of One UnitSelling Price$ 500.00 Cost of var. materials exp.$243.66 Cost of labor $ 33.00 Other variable costs$ 0.00Total COGS/ COSS$ 243.66 Contribution Margin$ 256.34 Definition of One Unit1 Dozen Wireless Headphones with 1 Speaking Phrase TranslatorMonthly Break Even Units$ 590.97
=
2.30
≈
2 Langua-Tech packages
$
256.34Slide5
Business Model
Description of ExpensesVariable Material ExpensesTotal: $19.00Item$Whipped Shea butter ingredients $10.00Pre-poo ingredients$8.00Plastic bottles $1.00Fixed ExpensesTotal: $30.00Rent/Utilities $20.00Depreciation$5.00Advertisement$5.00Economics of One UnitSelling Price$25.00 Cost of var. materials exp.$19.00 Cost of labor $1.45 Other variable costs$2.00Total COGS/ COSS$22.45Contribution Margin$5.55Definition of One Unit Whipped Shea butter + Pre-pooMonthly Break Even Units$30.00=5.4≈~6 Whipped Shea butter + Pre-poos$5.55Slide6
Business Model
Description of ExpensesVariable Material ExpensesTotal: $0.00Item$Fixed ExpensesTotal: $564.50Item$Insurance$41.67Advertising $2.00Depreciation $20.83Salary $500Economics of One UnitSelling Price$850.00 Cost of var. materials exp.$0.00 Cost of labor $420.00 Other variable costs$0.00Total COGS/ COSS$420.00Contribution Margin$430.00Definition of One UnitOne-on-One all year swim lessons contractMonthly Break Even Units$564.50=1.31≈2 yearly contracts $430.00Slide7
Description
of ExpensesVariable Material ExpensesTotal: $2.79Item$Disposable Gloves$0.78Henna Tubes$1.04Paper towels$0.97Fixed ExpensesTotal: $293.05Item$Insurance$177.09Advertising$2.00Depreciation$103.96Utilities/Rent$10.00Business ModelEconomics of One UnitSelling Price$175.00 Cost of var. materials exp.$2.79 Cost of labor $21.75 Other variable costs$2.40Total COGS/ COSS$26.94Contribution Margin$148.06Definition of One UnitParty of 10 peopleMonthly Break Even Units$293.05=1.98≈2 parties$148.06Slide8
Description
of ExpensesVariable Material ExpensesTotal: $0.00Item$Fixed ExpensesTotal: $3,131.67Phone Bill$50.00Insurance $41.67Advertisement $0.00Rent/Utilities $20.00Depreciation$20.00Salary$3,000.00Business ModelEconomics of One UnitSelling Price$1,600.00 Cost of var. materials exp.$0.00 Cost of labor $208.80 Other variable costs$0.00Total COGS/ COSS$208.80Contribution Margin$1,391.20Definition of One UnitOne class of 20 students of 1.5 hour per day, 3 days a week, for one monthMonthly Break Even Units3,131.67=2.25≈~ 2 monthly classes$1,391.20Slide9
Business Model
Description of ExpensesVariable Material ExpensesTotal: $131.61Item$Equipment(Size medium skates, gloves, helmet, shin pads, pants, shoulder pads)$125.00Cleaning$2.58Boxes$2.53Bubble wrap$1.50Fixed ExpensesTotal: $850.00Item$Utilities/Rent$30.00Phone/Computer$0.00Website$10.00Depreciation$10.00Salary$800.00Economics of One UnitSelling Price$450.00+SH&H Cost of var. materials exp.$131.61 Cost of labor $6.53 Other variable costs$0.00Total COGS/ COSS$138.61Contribution Margin$311.86Definition of One Unit1 combo recycled hockey equipmentMonthly Break Even Units$850.00=2.73≈1 combo$311.86Slide10
Business Model
Description of ExpensesVariable Material ExpensesTotal: $1,333.75Item$T-Shirt$118.75Healthy Snacks$600.00Classroom Supplies$15.00Fixed ExpensesTotal: $8,816.79Item$Rent/Utilities$4,800.00Advertising $4.50Depreciation $12.29Salary$4,000.00 Economics of One UnitSelling Price$26,400 Cost of var. materials exp.$1,333.75 Cost of labor $1,044.00 Other variable costs$0.00Total COGS/ COSS$2,377.75Contribution Margin$24,022.25Definition of One Unit6 weeks, 96 hour session of 22 children(11:1 ratio)Monthly Break Even Units$8,816.79=.4≈5 camp days$24,022.25Slide11
Business Model
Description of ExpensesFixed ExpensesTotal: $6675/MonthItem$Utilities$1000/MonthInsurance$1500/MonthRent$1000/MonthDepreciation$1165/MonthAdvertising$10/MonthSalaries$2000/MonthEconomics of One UnitSelling Price$5500 Cost of var. materials exp.$0.00 Cost of labor $400.00 Other variable costs$0.00Total COGS/ COSS
$400
Contribution Margin
$5100
Definition
of One Unit
One
Edelbrock supercharger installed on a 2010 Chevrolet Camaro.
Monthly Break Even Units
$6675
=
1.3
≈
2
Units
$5100