About the Production Cost Calculator
Cost per unit from materials, labour, machine time and overhead, including scrap losses.
Also known as: manufacturing cost, cost per unit produced, unit production cost.
How to use this calculator
- Enter material cost per unit, labour minutes per unit, labour cost per hour, machine cost per hour and the other fields.
- The result updates instantly as you type — press Calculate (or Enter) at any time.
- Review the breakdown shown under the main result.
- Use Copy result or Share to save the answer or send a link with your inputs.
Formula
Unit cost = (material + labour + machine + overhead) ÷ (1 − scrap rate)
Worked example
Using the values pre-filled in the calculator above:
- Material cost per unit = 6.2
- Labour minutes per unit = 4
- Labour cost per hour = 22
- Machine cost per hour = 35
- Machine minutes per unit = 2.5
- Overhead per unit = 1.4
- Scrap rate = 3 %
the calculator returns:
- Cost per good unit: 10.85
- Cost before scrap: 10.53
- Scrap cost per unit: 0.33
- Cost per 1,000 units: 10,850.52