Unit price

Unit price is the cost per item or cost per unit of measure. It can be expressed as a ratio.

Example: cost per item

Garth bought 2 erasers for $0.50. How much did each eraser cost?

2:50 = 1:25

Each eraser cost $0.25.

The unit price is $0.25.

Example: cost per unit of measure

A 1-pound loaf of bread cost $1.60. What was the cost of the bread per 1-ounce serving? (1 pound = 16 ounces)

1.60:16 = 0.10:1

The unit price is $.10.

Also called cost per unit and unit cost.

See also equal ratios.