What is variable cost?
variable cost How to Calculate Fixed and Variable Costs: Examples and Explanations · AFC = $50,000 100 widgets · AFC = $500 per widget · $200$100-$50 = 20050 = 4 More videos on YouTube · Rent and lease costs - Rent and lease costs are a common fixed cost for businesses · Equipment and machinery -
A variable cost is an expense that changes in proportion to production or sales volume Variable costs are costs that change depending on the level of production a business has These changes could be due to the need for more raw material, less
Variable costs play a crucial role in shaping the profitability of a product line and directly impacting the profit margin Understanding these costs is What is Variable cost VARIABLE COST Variable is the expense bore by a company that changes with change in production and sales It is not fixed, unlike fixed