Cost Analysis
Estimate fixed tooling amortization, recurring production cost, learning-curve labor, and break-even quantity.
Average unit cost
$577
$207 recurring per sale unit
Total program cost
$57,733
$37,000 fixed cost
Break-even quantity
84 units
$650 target price
Profit at quantity
$7,267
11.2% gross margin
Quantity economics
The curve separates fixed-cost dilution from recurring production cost.
100 sale units
The selected dot is the entered production quantity; curve samples carry unit cost, fixed share, and total program cost.
The break-even dot appears where target unit price first covers total program cost, including tooling and engineering.
Fixed share
$370
$37,000 spread over 100 units
Recurring unit cost
$207
material, labor, scrap, and batch setup
Break-even
84 units
$650 unit price
Cost breakdown
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