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Equation 1 · Part 12 · The Unit Economics of a Token

addition

c=pinn+pcww+pcrr+pout(y+z)c = p_{\mathrm{in}} n + p_{\mathrm{cw}} w + p_{\mathrm{cr}} r + p_{\mathrm{out}} \left( y + z \right)
addition

What this part means

Add the term after the plus sign to the term or group before it.

Its job in the formula

Add the term after the plus sign to the term or group before it.

The passage around this formula

Instrument each request to record five quantities: new input tokens, cache-write tokens, cache-read tokens, visible output tokens, and reasoning tokens. The cost of a single request is then c=pinn+pcww+pcrr+pout(y+z)c = p_{\mathrm{in}} n + p_{\mathrm{cw}} w + p_{\mathrm{cr}} r + p_{\mathrm{out}} \left( y + z \right). where n , w , r , y and z are the five counts in that order and each p is the corresponding published rate. The important feature is the last term: visible output and reasoning share one price, and the reasoning count is the only one of the five you cannot recover by inspecting what came back.

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Learn the underlying idea

Addition combines quantities; subtraction measures the signed difference between them. Parentheses show what is combined before the rest of the expression is evaluated.

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Sources cited in the article section

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