A token refers to a broken piece of information Azure OpenAI services done to process the user request. Each token could either be an entire word or chunks of characters within a word. For example, longer words such as “hamburger” get broken down into three tokens: “ham”, “bur” and “ger”. Shorter and smaller words, such as “pear”, is counted as a single token. There is no set rule on the number of characters which count as a token. However, generally speaking, a token is usually 4 characters long, an average sentence would be around 25 tokens, an average paragraph would be around 100 tokens and 1,500 words would be around 2,000 tokens.
In addition, students are charged 10,000 tokens for each image request on DALL∙E.