Landed cost per unit: split shared costs between SKUs
Summary: To find landed cost per unit, add each SKU's goods cost, direct charges and share of common logistics costs. Divide that total by the units assigned to that SKU. In the synthetic example below, a volume split gives SKU A a cost of $22.70 per unit and SKU B $15.30. A value split gives $25.50 and $12.50. Both methods account for the same $3,800 shipment total. They place different shares of the $600 common bill on each product.
Start with costs you can trace to each SKU
Cost per unit = (goods cost + direct charges + allocated shared costs) ÷ SKU units.
Assign a charge to its SKU when the bill identifies that product. Put only costs shared by both products in the pool you will split.
These figures are invented for teaching. They are not market prices, a Suaid Global quote or a customer shipment. All amounts are USD, with any currency conversion already made.
| Input | SKU A | SKU B | Shipment total |
|---|---|---|---|
| Sellable units received | 100 | 100 | 200 |
| Goods cost | $2,000 | $1,000 | $3,000 |
| Gross weight, including packing | 100 kg | 100 kg | 200 kg |
| Packed volume | 0.20 m³ | 0.80 m³ | 1.00 m³ |
| Direct charges | $150 | $50 | $200 |
| Shared logistics costs | To allocate | To allocate | $600 |
The $150 and $50 are assumed charges assigned to each SKU. They are cash amounts, not duty rates. A separately billed product inspection or special handling task could be a direct charge in your own sheet.
This example assumes all ordered units arrive sellable, with no shortages or damage. The unit count means products, not cartons or pallets. Match quantities to the packing list and goods values to the commercial invoice.
Use one defined cost scope throughout: here, the selected delivered cash budget. The International Trade Administration includes product price, freight, insurance, duties and other fees in its landed-cost overview.
Check each bill before adding it. A charge included in the supplier's invoice or freight package must not enter the sheet again. Our freight forwarding cost guide explains common bill items if you need to identify one.
Choose what the shared cost should follow
Value, weight and volume are three alternative management choices. Apply one to the $600 pool at a time. Adding all three allocations would count that bill three times.
Use goods value when your budget method assigns common costs in proportion to purchase value. Use gross weight when weight reasonably explains those costs. Use packed volume when space is the main driver. Record the reason beside the chosen basis.
Neither product is heavier here. SKU A costs twice as much to buy, while SKU B takes four times the space. Those differences explain the results.
The same invented inputs give these shares:
| Basis | SKU A share | SKU B share |
|---|---|---|
| Goods value | $2,000 ÷ $3,000 = 2/3 | $1,000 ÷ $3,000 = 1/3 |
| Gross weight | 100 ÷ 200 = 50% | 100 ÷ 200 = 50% |
| Packed volume | 0.20 ÷ 1.00 = 20% | 0.80 ÷ 1.00 = 80% |
Use final packed measurements for the volume basis. The CBM calculator can help with that input. If separate shared bills have different cost drivers, give each its own pool and basis.
Calculate both SKUs under each method
Split by goods value
SKU A receives $600 × $2,000 ÷ $3,000 = $400 of shared costs.
Its cost per unit is ($2,000 + $150 + $400) ÷ 100 = $25.50.
SKU B receives $600 × $1,000 ÷ $3,000 = $200.
Its cost per unit is ($1,000 + $50 + $200) ÷ 100 = $12.50.
Split by gross weight
Each SKU receives $600 × 100 ÷ 200 = $300.
SKU A: ($2,000 + $150 + $300) ÷ 100 = $24.50 per unit.
SKU B: ($1,000 + $50 + $300) ÷ 100 = $13.50 per unit.
Split by packed volume
SKU A receives $600 × 0.20 ÷ 1.00 = $120.
Its cost per unit is ($2,000 + $150 + $120) ÷ 100 = $22.70.
SKU B receives $600 × 0.80 ÷ 1.00 = $480.
Its cost per unit is ($1,000 + $50 + $480) ÷ 100 = $15.30.
Reconcile the shipment before using the result
For this invented example, the shipment check is $3,000 goods + $200 direct charges + $600 shared costs = $3,800.
| Alternative method | SKU A total | SKU B total | Combined total |
|---|---|---|---|
| Goods value | $2,550 | $1,250 | $3,800 |
| Gross weight | $2,450 | $1,350 | $3,800 |
| Packed volume | $2,270 | $1,530 | $3,800 |
Changing from value to volume moves $280 from A to B. No cash has been saved. The product totals simply reflect a different way to assign the same expense.
Dividing $3,800 by all 200 units gives a shipment average of $19.00. Using that figure for both SKUs would hide their different purchase costs.
Copy the calculation into a worksheet
Set up rows 2 and 3 for SKUs A and B. Use these columns:
A SKU | B units | C goods cost | D gross kg | E m³ | F direct charges | G basis input | H share | I shared cost | J SKU total | K unit cost
The formulas shown use English function names and comma argument separators. Adjust these to your spreadsheet settings.
- Enter the inputs: Enter the input table in columns A–F. Put the shared pool,
600, in cellM1. - Choose one basis: For volume, set
G2 = E2. For weight, useD2; for value, useC2. Copy the chosen formula to row 3. - Calculate the share: Set
H2 = G2/SUM($G$2:$G$3)andI2 = $M$1*H2. - Calculate the unit cost: Set
J2 = SUM(C2,F2,I2)andK2 = J2/B2. Copy H2–K2 to row 3. - Reconcile the totals: Check that
SUM(H2:H3)equals 100%,SUM(I2:I3)equals $600, andSUM(J2:J3)equals $3,800.
Check precision, quantities and scope
Keep full precision in the formulas. Round the displayed unit costs to cents. Record any final rounding adjustment so allocated costs still match the bill.
Keep the basis and scope beside the saved result. If received quantities differ from the order, resolve the quantity basis with your finance team before using the unit cost.
This worksheet supports a management budget; it does not set inventory accounting treatment or customs value. The US Census valuation definitions distinguish customs value from other import-value measures. Do not use this allocation to determine a taxable base.
The allocation choices and invented calculations are editorial examples. Neither source prescribes a universal SKU allocation method.
Sources
- International Trade Administration — Determine Total Export Price — Landed-cost components; verified 12 October 2026.
- US Census — International Trade Statistical Program, valuation — Distinct US statistical value measures; verified 12 October 2026.
