How to Calculate Product Costs for a Manufacturer dummies
In the example, the business manufactured 120,000 units and sold 110,000 units during the year, and its product cost per unit is 760. The 110,000 total units sold during the year is multiplied by the 760 product cost to compute the million cost of goods sold expense, which is deducted against the company''s revenue from selling 110,000 units during the year.