Understand the idea
A simple cost model states assumptions. Fixed costs stay the same within the stated range; per-item costs depend on quantity.
WORKED EXAMPLE
Fictional setup cost 30 units plus 4 units per kit. Five kits cost 30 + 4 × 5 = 50 units.
Watch it step by step
Step 1 of 4Define
State setup = 30 and per-kit = 4.
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Read or choose any step
- Define
State setup = 30 and per-kit = 4.
- Model
Cost = 30 + 4 × number of kits.
- Calculate
At five kits the model gives 50.
- Challenge
List a cost or condition the model may omit.
TRY BEFORE CHECKING
Exercises with feedback
MAKE SOMETHING YOU CAN EXPLAIN
Your practical challenge
Compare costs for 5 and 10 kits using pretend prices. State two assumptions and a pilot limit.
These ticks are your self-review. They do not automatically assess project quality. Ask an adult or partner to review what you can show.
Use the skill in a new situation
Explain why average cost per kit can change with quantity.