Kayo's Business School
Week 2 ยท Day 8

๐Ÿงฎ Cost per Unit

The secret math of making things

The Concept

Before you set a price, know your Cost per Unit โ€” what a single item costs you to make. Price below it, and every sale loses money.

The Example

A $5 pack of clay makes 10 mini sculptures, so each one costs $0.50 in materials.

Sell them at $3 each and you keep $2.50 of profit per sculpture. That gap between price and cost is called your margin.

๐ŸŽฏ Your Mini-Challenge

If supplies cost $12 to bake 24 muffins, what does 1 muffin cost to make?