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...
“Watch the costs, and the profits will take care of themselves” -Andrew CarnegieThe Difference Between Fixed Cost vs. Variable Cost This is why having an in-depth understanding of your costs is important not only for purposes of accounting but also for ensuring the success of your business....
Briefly explain the difference between fixed cost and variable cost. Provide an example of each. 2.Briefly discuss marginal costs, including an explanation of how they are calculated; any condition that is typical to them, and what makes knowing th...
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...
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。
Knowing the difference between fixed expenses and variable expenses helps you create a budget and stay on track of reaching your financial goals.
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Fixed costs, total fixed costs, and variable costs all sound similar, but there are significant differences between the three. The main difference is thatfixed costsdo not account for the number of goods or services a company produces whilevariable costsand total fixed costs depend primarily on...
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 ...
While variable costs tend to remain flat, the impact of fixed costs on a company's bottom line can change based on the number of products it produces. So, when production increases, the fixed costs drop. The price of a greater amount of goods can be spread over the same amount of ...