Calculate total expenses by entering fixed costs, variable costs per unit, and quantity
Learn how to use the Cost Expense Calculator calculator and its working principles
The calculator uses the following formula to calculate total expenses:
Total Expense = Fixed Costs + (Variable Cost per Unit × Quantity)
This formula helps you understand the total cost of producing or purchasing a certain quantity of items by considering both fixed and variable costs.
If your fixed costs are $500, variable cost per unit is $10, and you are producing 50 units, your total expense would be:
$500 + ($10 × 50) = $1,000