Fixed cost become relevent cost when a particular decision affects the fixed cost of production. For Example: Before Decision fixed cost $100 After Decision Fixed Cost $120 so in this case fixed cost also becomes relevent for decision making.
capital is a fixed cost
rental
When there will be change in fixed cost of business then at that time fixed cost will be relevant cost For Example if acquiring new machinery will reduce the amount of fixed expense in that case fixed cost is also relevant.
yes it is an example of fixed cost
Fixed expense plus a variable
120
Technically speaking, it is a Fixed cost. Although the price may vary from month to month, it will always be within a fixed range.
Talk less
Denise has a fixed cost per month of $29.95. Subtract the fixed cost from her monthly bill of $99.95 to get a timed cost of $70.00. At 10c per minute she has been charged for 7000/10 = 700 minutes of chargeable time. She does not get charged for the first 300 minutes so she has used her phone for 300 + 700 = 1000 minutes. (16 2/3 hours)
$100.00/mo
I was hoping you knew. Does this cost me money?
it might cost more than 300 . depends how much you talk on the phone
Fixed cost become relevent cost when a particular decision affects the fixed cost of production. For Example: Before Decision fixed cost $100 After Decision Fixed Cost $120 so in this case fixed cost also becomes relevent for decision making.
Phones were not sold. You had to rent one from the phone company and the cost was part of the bill.
capital is a fixed cost
Fixed cost and variable cost is equal to total cost as per following formula: Total Cost = Fixed Cost + Variable Cost