# Yield Cost Calculator

> Show what yield loss does to the cost of each unit that survives.

Page: https://freecalculator.tech/tools/yield-cost-calculator
Last reviewed: 2026-09-16

## Formula

Effective cost per good unit = ((Units started × Cost per unit started) − Salvage) ÷ Good units

- Effective cost per good unit = ((Units started × Cost per unit started) − Salvage) ÷ Good units.
- Inputs used: Currency, Units started, Good units produced, Cost per unit started, Salvage recovered from lost units (optional).
- Edge handling: Units started is required.; Units started cannot be negative.; Units started must be no more than 1000000000000.; Good units produced is required.; Good units produced cannot be negative..

## Inputs

- Currency
- Units started
- Good units produced
- Cost per unit started
- Salvage recovered from lost units (optional)

## Worked example: 940 good units out of 1,000 started

What the loss does to the cost of each unit that survives.
1. Start with Currency: USD, Units started: 1000, Good units produced: 940, Cost per unit started: 18.50, Salvage recovered from lost units (optional): 0.
2. Apply the method: Effective cost per good unit = ((Units started × Cost per unit started) − Salvage) ÷ Good units.
3. What the loss does to the cost of each unit that survives.

## Common questions

### Where does this formula come from?

ASQ cost of quality — scrap, rework and yield loss are internal failure costs: the cost already invested in output that cannot be sold as it is, less anything recovered. See the source link on this page.

### What kind of calculation is this?

The whole cost of the run carried by the good units only, with the yield and the cost of the loss shown. Check the formula, example, and limitations on this page before using the result for a real professional & industry decision.

### What are its limits?

Arithmetic over the figures entered — it cannot tell whether the costs, standards or allowances behind them are right. A target cost, an industry benchmark and the organisation's own standard are different things; only the figures entered are used. Assumes the cost is committed at the start; a loss late in the process may carry more cost than a loss early on.

### How do I use the Yield Cost Calculator?

Enter the required values for Currency, Units started, Good units produced, Cost per unit started, Salvage recovered from lost units (optional). The calculator applies the formula on this page and shows the main result with any supporting breakdown so you can check the arithmetic.

### What formula does the Yield Cost Calculator use?

Effective cost per good unit = ((Units started × Cost per unit started) − Salvage) ÷ Good units The visible formula section above lists the calculation path and the edge cases the page handles, so the result can be checked without relying on the form alone. Check the formula, example, and limitations on this page before using the result for a real professional & industry decision.

### Can the Yield Cost Calculator be used for exact decisions?

Use it as a calculation aid, not as a substitute for checking the underlying rule, contract, policy, or professional advice that applies to your situation. When a result depends on local rules, personal details, prices, or dates, enter those values yourself and confirm them before acting.

## Limitations and assumptions

- Inputs outside the supported range are rejected rather than forced into a result.
- The result depends on the values you enter for this yield cost calculator; it does not supply missing rates, rules, prices, dates, or assumptions for you.

## Sources

- American Society for Quality — https://asq.org/quality-resources/cost-of-quality

## Cite this page

- APA: Free Calculator. (2026, September 16). Yield Cost Calculator. https://freecalculator.tech/tools/yield-cost-calculator
- MLA: "Yield Cost Calculator." Free Calculator, 16 Sept. 2026, https://freecalculator.tech/tools/yield-cost-calculator.
- Link: Yield Cost Calculator — Free Calculator, https://freecalculator.tech/tools/yield-cost-calculator