In the numerical model for the expense of creation, the short-run absolute expense is equivalent to fixed cost in addition to add up to variable expense. The proper expense alludes to the expense that is brought about paying little heed to how much the firm delivers. The variable expense is a component of the amount of an item being delivered. The expense capacity can be utilized to describe creation through the duality hypothesis in financial matters, grew for the most part by Ronald Shephard (1953, 1970) and different researchers (Sickles and Zelenyuk, 2019, ch.2).