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Essays about Variable Cost

Factors That Effect Variable Cost

Your discussion may include both internal and external factors that could influence this decision. There are various factors suggesting that Mystery segment should be discontinued, including both internal and external factors. Internally, the paramount issue with Mystery segment is that it accounts for the largest amount of loss for the company, with the figure stands …

Fixed and Variable Costs

The restaurant Nita’s looked at the costs for the year. The restaurant wanted to see what some of their fixed and variable costs were for the year. They also wanted to make sure they remain in their relevant range. The costs focused on were the cost of hamburgers (raw materials) and the cost of building …

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Advantages and disadvantages of variable costing

Many managers use variable costing for internal reporting and decision making since it has number of advantages (Myers par. 1). First, on variable costing reports costs are organized by behavior which makes it easier to understand. Also, variable costing statements facilitate cost volume profit (CVP) analysis because it separates cost behavior by fixed and variable. …

Fixed and Variable Cost

Fixed and Variable Cost Variable cost is a cost that changes in proportion to a change in a company’s activity or business, while a fixed cost is cost that remains constant, regardless of any change in a company’s activity. In the given case Raw Materials would be variable cost, as it changes with a change …

Separation of fixed cost and variable cost from the mixed cost

Separation of fixed cost and variable cost from the mixed cost The mixed cost is the cost that includes both the fixed cost and the variable cost. Mixed cost is also known as the semi variable cost. The mixed cost fluctuates with linearly with the changes in the activity. The fixed cost portion shows the …

Fixed and Variable Costs

Health services managers are essentially interested in how costs are affected by changes in volume. Cost behavior refers to a cost’s reactions to activity level. A cost may rise, fall, or remain constant as activity levels fluctuate. We can classify several types of costs on the basis of their relationship to the amount of services …

Variable Cost and Total Contribution

I have assumed its only the Tashtego that makes the trip of Balik to Singapore and back. I have also assumed the relevant cost is the cargo cost only. Therefore, the profit contribution of carrying I ton of tapioca from Balik and Singapore: Expected revenue $5. 10 Less freight cost (0. 25+0. 56) 0. 81 …

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