Define variable and fixed costs, and provide at least two examples of each. Are variable costs always relevant costs? Explain. Explain the difference between fixed and variable costs and give two examples of each for a car manufacturer. Variable costs and fixed costs mean the same thing. Do y...
Expect to pay a fee to convert your loan, and there may be additional rules for conversion. Another option for converting a variable rate loan to a fixed rate loan is to refinance it. However, refinancing costs money, so make sure that you will save enough to recoup those charges. In ...
Variable cost refers to the costs that change with changes in the quantity of output produced. These are affected directly by the fluctuations in the activity levels of the enterprise. Variable costs and volume of the production are directly proportional. Hence, with an increase in production, the...
However, the marginal cost of production is affected when there are variable costs associated with production. For example, suppose the fixed costs for a computer manufacturer are $100, and the cost of producing computers is variable. The total cost of production for 20 computers ...
Fixed costsTransfer pricingVariable costsPrior empirical research on transfer pricing only reported what firms do but seldom explained why. This study moves the research forward by introducing hypothesis testing.Atkinson (1987) shows that pricing transfers at variable cost when capacity is in excess. ...
The variable annuity's costs and limited equity participation are the only obstacles to capturing potentially positive returns, making such an alternative easier to evaluate. A further option to consider is what is known as an anchor strategy, which uses a fixed, predictable asset such as a ...
Scott DeMonte offers information on variable annuities, including his own evaluation and rating of the major variable annuity providers’ contracts. http://www.annuityiq.com/ Jeff Williamson runs the web site Annuities Explained, which offers a large collection of article explaining annuities. ...
Which is better? Variable or fixed rate mortgage? We hate to say “it depends” but… it depends. These days, with fixed rate mortgages being popular and competitively-priced, and with interest rates low, they usually come out on top. ...
IVariable and Fixed Overhead Costs DefinitionsIn a manufacturing operation, it is important for the managers (production manager; planning manager; and the cost accounting manager) t0 prepare a budget and plan for the manufacturing costs expected to be incurred in t...
In contrast to fixed-rate mortgages, SARON mortgages have a variable interest rate. This is based on the SARON rate (Swiss Average Rate Over Night), a reference interest rate calculated and published by SIX daily after the close of trading. The Compounded SARON is the rate t...