How do I setup shipping costs for order with multiple product quantities?

We have a feature that allows users to set how order shipping is calculated for orders with incremental quantities of the same product. For example, if I sell 2 of product A  and it typically costs $5 to ship product A I can either set the shipping rule to multiply the shipping cost $10 or to keep the shipping cost as fixed at $5. 

The toggle to make the change is located in the shipping part of the data warehouse under the shipping rules:

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