profit per unit

profit per unit is a key metric in business, representing the amount of money made on each individual product sold after all costs are subtracted. To calculate profit per unit, subtract the cost of goods sold (COGS), shipping fees, and other associated costs from the sale price. This figure helps businesses determine the financial viability of their products and whether their pricing strategy is sustainable. Understanding profit per unit is crucial for setting pricing, forecasting revenue, and making informed business decisions.