Explain the Difference Between Fixed Costs and Variable Costs
Fixed costs are the simplest of the three. Taken together fixed and variable costs are the total cost of keeping your business running and making sales. What Is A Fixed Cost Example Formula More Mageplaza Explain the difference between fixed and variable costs and give. . The fixed costs include interest on fixed capital license fees wages to permanent staff etc. These factors have no bearing on volume of production. The main difference is that fixed costs do not account for the number of goods or services a company produces while variable costs and. Examples of fixed costs include rentmortgage insurance salaries interest payments property taxes and depreciationamortization. Unlike fixed costs variable costs do increase or. They dont change regardless of your business activity so no additional calculations are needed. The difference between fixed and variable costs is that fixed costs do not change with ac...