Huaqin reqests Alchip to customize labels for MP shipment delivery. Since this requires additional effort in testing house, Chang-Yi asked us to provide the quotation in our last meeting.

The label customization for MP stage will be in unit price, $0.0062 USD per ea.

Item Formula Remark
Customization cost (monthly) 38124 = $3,048 (USD) customization fee incurrs 2 times a week, which is 8 times a month.
Shipping Q’ty (monthly) 10,765,046 / 22 = 489,320 (unit: ea) I1 total forecast demand quantity devided by 22-month forecast period
Customization unit price 3,048/489,320 = $0.0062 (USD) Using monthly average to calculate unit price

For each shipment, testing house charge a USD $381 one-time fee for label customization. There are two shipments per week according to Huaqin, meaning 2*4=8 times per month. So the customization cost on monthly average is $381 * 8 = $3,048 USD

According to latest I1 forecast demand, In the 22-month forecast period (March 2025 to December 2026), a total of 10,765,046 ea ICs will be shipped. So there are 10,765,046 / 22 = 489320 ea of I1 IC shipment each month on average.

So, dividing cost by shipment quantity in monthly format, the unit price per IC will be $0.0062 USD

($3,048) ÷ 489,320 = $0.0062 USD