Unit pricing is a way to compare similar products to find the best value.
For example, carrots are available in different forms: full-sized and baby carrots. They are also available in different sized bags. Figuring the unit price can help you determine which carrots are the best value.
*The full-sized carrots are the best buy. Consider whether you have the time to get the carrots peeled and cut up this week. If so, save money by buying the full-sized carrots.
If you are buying products that have Nutrition Facts labels, you can use the label to help you make your choice. For example, cereal often comes in different sized boxes. How do you know which box is the better price? The Nutrition Facts Label will tell you how many servings are in each box. Then divide the price by the number of servings in each box to determine which has a lower cost per serving.
|Box 1||Box 2|
|Serving size||¾ cup||¾ cup|
|Servings per box||10||15|
|Unit price||$0.22 per serving||$0.26 per serving|
*Box one is a better buy.
Unit pricing can also help you decide which form of a food to purchase. For example, green beans are available fresh, frozen, and canned.
|Price||Package Size||Equation||Price per ounce|
|Frozen green beans||$0.94||12 ounces||$0.94 / 12||$0.08|
|Canned green beans||$0.89||14.5 ounces||$0.89 / 14.5||$0.06|
|Fresh green beans||$2.14||1 pound (16 ounces)||$2.14 / 16||$0.13|