The expenses that a firm must take into account when manufacturing a product or providing a service. Types of cost structures include transaction costs, sunk costs, marginal costs and fixed costs. The cost structure of the firm is the ratio of fixed costs to variable costs.
The objective of capital structure is minimize the WACC cost.
Cost Breakdown Structure is the breakdown of a project into cost elements. This breakdown is typically in line with the Work Breakdown Structure (WBS); indicating "where" cost are allocated. The breakdown can sometimes be in line with the company's Chart of Accounts, indicating "what" the costs are for. In theory, cost could be in line with "who" is spending the cost, "when" costs are being spent, etc.
The relationship between constant marginal cost and the overall cost structure of a business is that when the marginal cost remains constant, it means that the cost of producing each additional unit of output does not change. This can lead to a more predictable and stable overall cost structure for the business, making it easier to plan and manage expenses.
If the price per unit decreases because of competition but the cost structure remains the same
Perfect food cost does not exist. This is different depending on the business and its financial structure.
If the price per unit decreases because of competition but the cost structure remains the same
Capital structure
cost cutting , process , captial structure
In a work breakdown structure, detailed cost estimates and resource assignments are not required.
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cost cutting , process , captial structure
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