A unit cost<span> is the total expenditure incurred by a company to produce, store and sell one </span>unit<span> of a particular product or service. </span>Unit costs<span> include all fixed </span>costs<span>, or overhead </span>costs<span>, and all variable </span>costs<span>, or direct material </span>costs<span> and direct labor </span>costs<span>, involved in production.</span>
