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Removable Storage
The Cost Per Megabyte |
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|   In order to calculate the cost of removable storage, there are two costs to consider: One is the initial cost of the drive and includes the startup costs , installation and the learning curve, as well as the dollar amount.   Consider this amount as amortized over the total storage capacity of all cartridges. |   Secondly, there is the cost of the cartridges themselves.   Consider the total storage capacity likely to be in service over the entire life of the drive to determine the amount of capital required.   Now, divide the total dollar amount (including the drive) by the capacity to obtain the true cost per megabyte for that case.
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