What are variable costs and fixed costs? What are some examples of each? How are these costs

Question:

What are variable costs and fixed costs? What are some examples of each? How are these costs estimated in forecasting operating expenses?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Fundamentals of corporate finance

ISBN: 978-0470876442

2nd Edition

Authors: Robert Parrino, David S. Kidwell, Thomas W. Bates

See More Books

Question Posted: Jun 08, 2012 01:07 AM

See More Questions

What do the terms variable costs and fixed costs mean?
How do variable costs and fixed costs differ? Give an example of each.
Bowman, Inc., has only variable costs and fixed costs. A review of the company's records disclosed that when 200,000 units were produced, fixed manufacturing costs amounted to $1,000,000 and the cost...
In April 1999, one of Capital Blue Cross' health-care insurance plans had been in the field for three years, but hadn't performed as well as expected. The ratio of premiums to claims payments wasn't...
Should a company always respond to a competitor's price cut, and what options are available if it does decide to respond?
What is the difference between ordinary repairs and extra ordinary repairs? How should each be recorded? lop8
3. When should the unrealized profit or loss from inventory be realized in intercompany sales transactions?
Five Star Tools is a small family-owned firm that manufactures diamond-coated cutting tools (chisels and saws) used by jewelers. Production involves three major processes. First, steel blanks (tools...
QL Question 20 Not yet answered Marked out of 100 Your principal has hired you to purchase a track of land. You meet with an individual and tell them you are an agent for your principal and then...
1. Calculate the 2017 and 2016 liquidity ratios identified using the ratio analysis table below. Also calculate the change and the percentage change for the ratios and complete the table. (Formulas...
Healthy Potions, Inc., a pharmaceutical company, bought a machine that produces pain-reliever medicine at a cost of $2 million five years ago. The machine has been depreciated over the past five...
When forecasting operating expenses, explain the difference between a fixed cost and a variable cost.
What does each of the four behavioral leadership theories say about leadership?
Canis Major Veterinary Supplies Inc. DuPont Analysis Ratios Value Correct/Incorrect Ratios Value Correct/Incorrect Profitability ratios Gross profit margin (%) 50.00 Correct Asset management ratio...
The entrance to Salt Lake City (elevation 3,075 ft at the point of crossing) is grade separated from interstate highway (elevation 3,050 ft at the point of crossing) and will have to be connected....
McKnight Handcraft is a manufacturer of picture frames for large retailers. Every picture frame passes through two departments: the assembly department and the finishing department. This problem...
A deep reinforced concrete member carries two members with factored loads as shown in Figure 2. Material properties: fy 400 MPa, f'e = 50 MPa. a) Sketch a feasible strut and tie model indicating the...
If triangles ABC and DFG are similar triangles and side DF = 218, what is the value of side DG?
Reconstructing events affecting shareholders' equity. Exhibit 12.11 reproduces the statement of changes in shareholders' equity accounts for Neslin Company for Year 2, a. Identify the most likely...
Explain how two samples can have the same mean but different standard deviations. Draw a bar graph that shows the two samples, their means an standard deviations as error bars. T S
Many people do not want to use bioremediation to treat contaminated soil because they feel that it will have a detrimental effect on the soil and the environment. True/False
Calculating cost of debt Jiminys Cricket Farm issued a 30-year, 9 percent semiannual bond 7 years ago. The bond currently sells for 108 percent of its face value. The companys tax rate is 35 percent....
Calculating cost of debt for the firm in problem 7, suppose the book value of the debt issue is $70 million. In addition, the company has a second debt issue on the market, a zero coupon bond with...
Calculating WACC Mullineaux Corporation has a target capital structure of 50 percent common stock, 5 percent preferred stock, and 45 percent debt. Its cost of equity is 15 percent, the cost of...
*please calculate irr in excel
Which of the following would not be a period cost? Research and development Direct materials Office supplies Advertising costs
\ table [ [ Activity Cost Pool,Activity Measure,Total Cost,Total Activity ] , [ Machining , Machine - hours,$ 3 3 0 , 0 0 0 , 1 5 , 0 0 0 MHs ] , [ Machine setups,Number of setups,$ 3 0 0 , 0 0 0 , 5...

What are variable costs and fixed costs? What are some examples of each? How are these costs

Question:

Step by Step Answer:

Variable costs vary directly with unit sales while fixed costs do n...View the full answer

Fundamentals of corporate finance

Students also viewed these Corporate Finance questions