However, in order to be able to evaluate them both, knowing the difference between fixed costs vs. variable costs is very important. While variable costs vary with the amount of output produced, fixed costs rem
Understanding the difference between variable and fixed costs is essential for any business. Whether it’s calculating your monthly budget, setting prices for your products, or making important decisions regarding profitability and expense structure for the business, distinguishing between variable and fixed...
Explain the difference between fixed costs (FC) and variable costs (VC) as it relates to production. Describe how fixed and variable costs behave within the relevant range. Explain variable costs. Are executive salaries classified as a fixed or variable cost? Explain....
Explain the difference between fixed costs (FC) and variable costs (VC) as it relates to production. Explain fixed costs. Describe how fixed and variable costs behave within the relevant range. Are fixed costs or variable costs considered sunk costs ...
Understanding the differences between fixed and variable expenses can help you make more informed decisions about your budget. Fixed expenses are costs in your budget that do not vary from month to month, such as your rent payment, insurance payment or membership costs. Variable expenses can change...
Now that you understand the differences between fixed and variable expenses, you can build a budget that helps you control your spending and meet your financial goals. When you know exactly where your money is going, you can take steps to shed unnecessary expenses, plan for the unexpected, and...
Part ofcreating a budgetis distinguishing between fixed and variable expenses. Fixed expenses are costs that largely remain constant, such as your monthly rent or mortgage. Variable expenses, on the other hand, are costs that may vary or be unpredictable, such as a car repair or a medical bil...
A. the variable cost of production minus the total cost of production is the fixed cost ofproduction. B. the total cost of production minus the variable cost of production is the fixed cost ofproduction. C. the total cost of production minus the variable cost of production is the marginal ...
解析 D答案为D项。平均总成本(averagetotalcost,ATC)等于平均可变成本(averagevariablecost,AVC)和平均固定成本(averagefixedcost,AFC)之和。故本题选D项。 答案为D项。平均总成本(averagetotalcost,ATC)等于平均可变成本(averagevariablecost,AVC)和平均固定成本(averagefixedcost,AFC)之和。故本题选D项。
Some operational costs are static, while others fluctuate. It’s important to know the difference between fixed and variable costs. Read more in our guide!