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The Company has to pay its Fixed Costs, Such as Rent and utility. These cost have to be paid regardless of whether the company is operating or not

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Q: What are costs that a company has to pay whether or not its operating?
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For a firm to operate in the shortrun the total revenue must at least be equal to Why?

A firm would still operate if revenues are below total coots, but not if revenues are below variable costs. The reason is that as long as revenues are above variable costs, the firm will earn a difference to contribute to the fixed costs (fixed costs are costs that a company has to pay in the short-run whether it operates or not). If the firm stops operating in the short-run, it will have to pay for the full fixed costs (e.g., rent, some fixed labour) If revenues are below variable costs, for every unit of production, the company loses the difference and does not contribute to the fixed costs. It is more economical to shutdown in the short-run.


Do you have to pay a credit card company out of business?

it depends on whether they sold their portfolio of debt


Does moonpig card company cost money to send cards?

I think it costs the money to print the card but they pay for the postage.


What are factors that affect a businesses profit?

Business profits are impacted by several factors. One important one is the taxes it must pay. Another is operating costs. The impact of its competitors also affects profits. Profits are also impacted by salary costs.


Can your homeowner's insurance premium be included in closing costs?

Your homeowners insurance premium SHOULD be included in your closing costs. Now as far as asking the sellers to pay for it--you can ask them to pay for anything--it's up to them whether or not to.

Related questions

What is the formula for Operating Margin?

Operating Margin is a measurement of what proportion of a company's revenue is left over, before taxes and other indirect costs are incurred, after paying for variable costs of production like wages, raw materials etc.A good operating margin is required for a company to be able to pay for its fixed costs like interest on its debt. A higher operating margin means that the company has less financial risk.Formula:Operating Margin = (Operating Income / Revenue)Operating income is the difference between operating revenues and operating expenses


For a firm to operate in the shortrun the total revenue must at least be equal to Why?

A firm would still operate if revenues are below total coots, but not if revenues are below variable costs. The reason is that as long as revenues are above variable costs, the firm will earn a difference to contribute to the fixed costs (fixed costs are costs that a company has to pay in the short-run whether it operates or not). If the firm stops operating in the short-run, it will have to pay for the full fixed costs (e.g., rent, some fixed labour) If revenues are below variable costs, for every unit of production, the company loses the difference and does not contribute to the fixed costs. It is more economical to shutdown in the short-run.


When a company sends you stuff that you did not order who has to pay for return shipping costs?

I think it is the company's responsibility to pay for any shipping costs that are due if an error was made on their behalf.


What is the difference between rent revenue and operating expenses?

Rent revenue is income from tenants who pay rent. Operating expenses are costs you pay to operate a property, including management and collections, and may include costs of insurance and property taxes, although these are normally included under "carrying costs", along with mortgage payments.


Is meant when it is said that a company is operating in the black?

In accounting, positive numbers are written in black. Red is for negative numbers--money that the company owes but cannot pay. So, if a company is operating in the black, it means its cash flow is positive and that it can pay its bills.


How the electricity's price affects a company?

The higher electricity prices become results in the higher the company's overhead operating costs become. This in turn takes away from the profit margin. To maintain the company's profit margin, higher prices are charged to the consumer. The company just pass the extra cost along and the more a consumer has to pay.


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Yes. Usually the shelter requires a fee to help cover their operating costs.


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You can write a letter to the company explaining why it would be difficult for you to pay the ambulance costs. The company does not have to cut you a break, but may choose to do so.


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Funding Costs: These costs are charges which any company pay to the lender for taking the loan for it's business and workings. For Example interest on loan etc


Do you receive vacation pay if you are terminated?

It depends upon the company and their policies. There are not typically any laws regarding whether they have to pay or not.


Do you have to pay a credit card company out of business?

it depends on whether they sold their portfolio of debt


What will pay workers at a level that maximizes the company?

Is it A) Costs B) Taxes C) Profits D) Marginal Revenue