Incremental Cost: Definition, How to Calculate, and Examples
Suppose the Deluxe Widget Company has a one-time order for 500 units. Analysis https://www.facebook.com/BooksTimeInc/ of the cost data shows that adding another 500 units will increase total cost to $530,000. Divide $30,000 by 500 and you have an incremental cost of $60 per unit. If the price offered by the customer is at least this …
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