Average cost

Average cost is the cost per unit at a given level of production; it is equal to total costs divided by production.

Definition

According to Marketing Management by Keller and Kotler (15th edition),

Average cost. The cost per unit at a given level of production; it is equal to total costs divided by production.

According to Cost Accounting by Horngren, Datar, Rajan (14th edition),

Average cost. See unit cost.