b) Unit cost
c) Collective value
d) Combined expense
The correct answer is:
b) Unit cost
Aggregate refers to the total sum or combination of multiple items. It doesn’t specifically represent the price of a single item within a group.
Unit cost (Correct Answer):
Unit cost is the cost associated with a single item within a group or batch of items. It is calculated by dividing the total cost of the items by the quantity of items. This term precisely describes the price of a single item.
Collective value suggests a combined or total worth of a group of items. While it is related to the concept of aggregate, it doesn’t emphasize the individual cost of a single item.
Combined expense generally refers to the total cost incurred by combining or adding up various expenses. It is not specific to the price of a single item within a group.
In summary, “Unit cost” is the term that specifically denotes the price of a single item within a group of items.
Understanding Unit Price: The Key to Smart Shopping
In the world of retail, understanding unit price can be a game-changer for savvy shoppers. But what exactly does it mean? Simply put, the price of a single item within a group of items is known as the unit price. It’s a crucial factor in making informed purchasing decisions and getting the best value for your money.
Unit price is typically displayed on store shelves alongside the total price of the item or product. It’s expressed in various units such as ounces, grams, liters, or per item, depending on the nature of the product. For example, when comparing two brands of breakfast cereal, one might cost $4 for a 16-ounce box, while another might cost $3 for a 12-ounce box. At first glance, the $3 option seems cheaper, but calculating the unit price reveals the true value.
To calculate the unit price, simply divide the total price by the quantity. In the case of the cereal example, the unit price of the $4 cereal is $0.25 per ounce, while the unit price of the $3 cereal is $0.25 per ounce as well. This comparison shows that despite the initial price difference, both cereals offer the same value per ounce.
Understanding unit price empowers consumers to make informed choices and avoid falling for marketing tactics that may seem like a good deal at first glance. It allows shoppers to compare similar products more accurately, ensuring they get the best value for their budget.
Moreover, unit price comparison can lead to significant savings over time. By consistently choosing products with lower unit prices, shoppers can stretch their dollars further without sacrificing quality or quantity.
In addition to saving money, being aware of unit price promotes mindful consumption and reduces waste. When consumers have a clear understanding of how much they are paying for each unit of a product, they are more likely to buy only what they need, minimizing impulse purchases and excess consumption.
The unit price of an item is a crucial piece of information for smart shopping. By calculating and comparing unit prices, consumers can make informed decisions, save money, and contribute to more sustainable consumption practices. So next time you’re at the store, take a moment to check the unit price—it could make all the difference.