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What else can I help you with?
How would you describe a variable cost?
There are a number of costs that vary or change, but if the variation is not due to volume changes, it is not considered to be a variable cost.
Examples of semi variable direct costs?
An example of semi variable direct costs is wages. Since semi variable costs are partially fixed and variable, regular labor is fixed costs, as production rises and workers have overtime the overtime is considered the variable cost.
What is the the variable costs plus the fixed costs?
Type your answer here... fixed cost + variable cost = total cost
How do you determine total costs?
Total cost is determined by adding fixed costs and variable costs together. fixed cost + variable cost = total cost
What is the difference between average total costs and average variable costs?
Average total cost is the average of all your costs. This is your Fixed Costs and your Variable costs. Average Variable Cost is the average of your costs that can fluctuate.
What is cost What is the difference between total cost and average cost?
Average total cost is the average of all your costs. This is your Fixed Costs and your Variable costs. Average Variable Cost is the average of your costs that can fluctuate.
What is happening to average variable costs when they equal marginal costs?
When average variable costs equal to the average marginal cost, the average variable cost will be at the minimum point. i.e. lowest cost
How does Decrease in material costs impact total variable costs?
If material cost is variable cost then yes by decreasing material cost company can reduce total variable cost.
How do you calculate your variable cost and fixed cost given total costs and sales volumes?
Total Costs = Fixed Cost + Variable Cost soVariable Cost = Total Costs - Fixed Cost.
Why is total cost greater than average variable cost?
Total cost is greater than average variable cost because total cost includes both variable costs and fixed costs, while average variable cost only accounts for variable costs per unit of output. Fixed costs remain constant regardless of the level of production, which means they contribute to the overall total cost but do not affect the average variable cost calculation. As production increases, the average variable cost may decrease due to spreading the variable costs over more units, but the total cost continues to rise. Therefore, total cost will always exceed average variable cost due to the inclusion of fixed costs.
What is the difference between base cost and variable cost?
You don't fire variable costs
Is variable cost a relevant cost?
No. If a variable cost does not differ between alternatives than it is irrelevant.
