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Unit price comparison divides total cost by quantity to find cost per unit (oz, lb, item, etc.). This standardizes different package sizes for fair comparison.
Formula
Unit Price = Total Price ÷ Quantity
For packages of different sizes, calculate price per consistent unit (per ounce, per item) to determine which offers better value.
Convert all options to price per ounce, price per item, or price per serving before comparing.
If you'll throw away 30% of a bulk purchase, the effective unit price is 43% higher.
Regular-size items on sale often beat bulk prices. Calculate both.
Bulk buying requires storage space. If you need a larger freezer, factor that cost in.
Find the best value when choosing between package sizes.
Compare supplier quotes for bulk materials or supplies.
Compare different pack sizes and quantities across retailers.
Usually, but not always. Bulk sizes typically have 10-30% lower unit prices. However, sales can make smaller sizes cheaper. Always calculate, don't assume.
Many US states require unit price labels for easy comparison. Look at shelf tags - unit price is usually in smaller print below the total price.
Consider spoilage, storage, and actual need. The lowest unit price is bad value if half the product expires before use.
Convert to the same unit first. 16 oz = 1 lb. For liquids, fl oz is volume, oz is weight. Compare apples to apples.
Unit price assumes equal quality. Premium vs store brand, organic vs conventional - consider if the quality difference justifies the price difference.