Formula to allocate costs

Brusky

New Member
Joined
Dec 11, 2014
Messages
30
I am trying to estimate average shipping costs per unit. We have been provided a total shipping cost of $300 USD for all 25 items, but not per unit.

Product NameQtyWeight (lbs)Item Cost ($)
Product A18402,000
Product B1351,500
Product C4251,000
Product D13100
Product E13100

The average shipping charge is $12. Which looks more reasonable for the higher cost items, but excessive for the lower cost items. What formula would distribute this $300 cost so that the higher weight, higher cost items estimate a higher shipping charge per unit. And the lower weight, lower cost items estimate a lower cost per unit?
 

Excel Facts

Can a formula spear through sheets?
Use =SUM(January:December!E7) to sum E7 on all of the sheets from January through December
how about weighted averages based on weight or cost:
Book1
ABCDEF
1Product NameQtyWeight (lbs)Item Cost ($)on weighton prices
2Product A18402,000113.21127.66
3Product B1351,50099.0695.74
4Product C4251,00070.7563.83
5Product D131008.496.38
6Product E131008.496.38
7total cost:300300299.99
Sheet5
Cell Formulas
RangeFormula
E2:E6E2=ROUND(C2/SUM($C$2:$C$6)*300,2)
F2:F6F2=ROUND(D2/SUM($D$2:$D$6)*300,2)
E7:F7E7=SUM(E2:E6)
 
Upvote 0
Solution
how about weighted averages based on weight or cost:
Book1
ABCDEF
1Product NameQtyWeight (lbs)Item Cost ($)on weighton prices
2Product A18402,000113.21127.66
3Product B1351,50099.0695.74
4Product C4251,00070.7563.83
5Product D131008.496.38
6Product E131008.496.38
7total cost:300300299.99
Sheet5
Cell Formulas
RangeFormula
E2:E6E2=ROUND(C2/SUM($C$2:$C$6)*300,2)
F2:F6F2=ROUND(D2/SUM($D$2:$D$6)*300,2)
E7:F7E7=SUM(E2:E6)
this is perfect thank you!
 
Upvote 0

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