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How do you calculate the cost per unit sheet?
How is the prime cost calculated?
Is sales tax included in the cost sheet?
I saw a YouTube video of a business owner saying he uses excel to plug in his ingredients to where he could better understand his margins etc. Is this actually possible?
Let's say I'm trying to buy and sell apples for a profit, and my goal is determine the actual average value of every single apple.
In A1, I have the price of apples from Shop #1, which is 3.00. In B1, I put down 50 since Shop #1 has 50 apples.
In A2, I put down 4.00 since that's the price of apples from Shop #2. However, in B2, I only put down 1 because the shop only sells 1 single apple.
If I take the average of A1 and A2, it will give me 3.50 as the average cost of apples. However, this is incorrect. Clearly it should be closer to 3.00 since there is a total of supply of 51 apples, and 50 of them are priced at 3.00.
Example below:
| A (Price per apple) | B (amount of apples) | |
|---|---|---|
| 1 | 3.00 | 50 |
| 2 | 4.00 | 1 |
| AVERAGE PRICE PER APPLE | 3.5 (NOT CORRECT, but excel calculates it as so) |
How do I determine this in excel?