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unit cost

Unit cost

1) (1) In cost calculations, the cost of producing or moving a single unit as opposed to a whole batch or consignment. (2) The cost to an organization of acquiring one unit, including any freight costs, if obtained from an external source or the total unit production cost, including direct labour, direct material and factory overheads, if manufactured in-house. (Source: ILT Supply-Chain Inventory Management SIG)

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