answersLogoWhite

0

The simple rule is that if every order requires shipping fee then it is variable cost because as many as the number of orders variable cost will vary as well, but if total shipping cost remain as fixed amount no matter how many orders are shipped the shipping cost is classified as fixed cost.

User Avatar

Wiki User

11y ago

What else can I help you with?

Related Questions

Is shiping cost a fixed cost?

The simple rule is that if every order requires shipping fee then it is variable cost because as many as the number of orders variable cost will vary as well, but if total shipping cost remain as fixed amount no matter how many orders are shipped the shipping cost is classified as fixed cost.


Is shipping expense a mixed cost?

Yes. Shipping cost is a combination of fixed and variable expense. Fixed expense of shipping would be payment and insurance. Variable expense of shipping would be fuel cost.


How do you calculate the variable costs of making tea in a restaurant?

A variable cost is the cost dependent upon how much is being sold. In order to determine this cost it is necessary to know what is being sold and how much is needed to be sold to make a profit. Take the cost of the tea and what is needed to make the tea, cost of shipping items to store, and cost of employee wages. This will give you a total for the variable cost. Then you divide the total variable cost by the production volume.


How segregate the semi variable cost?

In semi variable cost :variable cost = change in cost/change in output then with that rate * output = variable cost semi variable cost - variable cost = fixed cost


Is shipping expense variable or fixed?

Shipping expenses are variable. It depends on how much you ship and if you ship different size things or not.


What is the cost of paper compost liners?

Variable is the cost of paper compost liners. The expense reflects the supplier and the transport. On-line orders tend to include shipping costs.


Marginal versus variable costing?

Variable cost refers to the TOTAL variable cost of all units, whereas marginal cost is the variable cost of the last unit only. Variable cost is the sum of all the individual marginal costs. The derivative of the Variable Cost is the Marginal Cost. The integral of the Marginal cost is the Variable Cost.


Is janitorial cost a variable cost?

No, Janitorial Cost is not a variable cost, it is a Fixed Cost.


How do you calculate variable cost?

Variable cost = Total Cost/ fixed cost


Is the depriciation cost is variable cost?

yes..depreciation cost is the variable cost..


What is the formula to find the average variable cost?

Average Variable Cost = Total Variable Cost/ Quantity Average Cost = Average Fixed Cost + Average Variable Cost Average Cost = Total Cost/Quantity


Is the cost of fuel for vehicles a variable cost?

Variable cost: The cost change with the change in activity is called variable cost. So as much fuel used cost increased accordingly so it is variable cost.