Scribd Logo
Upload

Welcome to Scribd!

  • Fix Cost Var Cost

    Uploaded by

    Satyajit Pawar
    8 views2 pages
    Fixed costs remain constant regardless of production levels, while variable costs change based on production quantities. Examples of fixed costs include rent and depreciation, while variable costs consist of direct materials and labor. Formulas show that total fixed costs are calculated by multiplying average fixed cost by output quantity, and total variable costs are the variable cost per unit multiplied by the total number of units produced. Graphs illustrate that fixed costs remain constant as production increases, whereas variable costs rise proportionately with production quantity.

    Original Description:

    Original Title

    fix cost var cost

    Copyright

    © Attribution Non-Commercial (BY-NC)

    Available Formats

    DOCX, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    Report this Document
    Fixed costs remain constant regardless of production levels, while variable costs change based on production quantities. Examples of fixed costs include rent and depreciation, while variable costs consist of direct materials and labor. Formulas show that total fixed costs are calculated by multiplying average fixed cost by output quantity, and total variable costs are the variable cost per unit multiplied by the total number of units produced. Graphs illustrate that fixed costs remain constant as production increases, whereas variable costs rise proportionately with production quantity.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as DOCX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    8 views2 pages

    Fix Cost Var Cost

    Uploaded by

    Satyajit Pawar
    Fixed costs remain constant regardless of production levels, while variable costs change based on production quantities. Examples of fixed costs include rent and depreciation, while variable costs consist of direct materials and labor. Formulas show that total fixed costs are calculated by multiplying average fixed cost by output quantity, and total variable costs are the variable cost per unit multiplied by the total number of units produced. Graphs illustrate that fixed costs remain constant as production increases, whereas variable costs rise proportionately with production quantity.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as DOCX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    of 2

    1.

    MEANING:-

    Fixed Cost- FC r expenses tht r nt dependent on d level of goods & services produced by d business.

    Variable Cost- VC r expenses which change wid change in a number of product units produce.

    2. ( Find suitable title for this points)

    FC- some times FC cn be quite a burden fr Co., whn it is nt performing well on d sales front.

    VC- VC generally rise wid increased in prod. & go dwn wid decrease in prod.

    3.FORMULA:-

    FC- Total Fixed Cost= Average Fixed Cost * Quantity of Output (Im not sure, we will check it out)

    VC- Total Variable Cost = Total Units of Outputs * Variable Cost Per Unit

    4.GRAPH:-

    FC-

    VC-
    5.EXAMPLES:-

    FC- Rent paid to owner, Dep on Building, Electricity Bill

    VC- Cost of tolls & labour, Machine Cost, Raw Materials

    You might also like