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When fixed cost treated as relevant cost?
Fixed cost become relevent cost when a particular decision affects the fixed cost of production. For Example: Before Decision fixed cost $100 After Decision Fixed Cost $120 so in this case fixed cost also becomes relevent for decision making.
Is capital a fixed cost?
capital is a fixed cost
Select a cost in your industry that is a fixed cost and why is it considered to be a fixed cost?
rental
When is fixed cost relevant in decision making?
When there will be change in fixed cost of business then at that time fixed cost will be relevant cost For Example if acquiring new machinery will reduce the amount of fixed expense in that case fixed cost is also relevant.
Is the cost of a new factory an example of a fixed cost?
yes it is an example of fixed cost
When fixed cost treated as relevant cost?
Fixed cost become relevent cost when a particular decision affects the fixed cost of production. For Example: Before Decision fixed cost $100 After Decision Fixed Cost $120 so in this case fixed cost also becomes relevent for decision making.
Is capital a fixed cost?
capital is a fixed cost
Fixed cost variable cost equals?
Fixed cost and variable cost is equal to total cost as per following formula: Total Cost = Fixed Cost + Variable Cost
Select a cost in your industry that is a fixed cost and why is it considered to be a fixed cost?
rental
When is fixed cost relevant in decision making?
When there will be change in fixed cost of business then at that time fixed cost will be relevant cost For Example if acquiring new machinery will reduce the amount of fixed expense in that case fixed cost is also relevant.
Is clerical salaries a fixed cost or variable cost?
its a fixed cost
Is the fixeds selling cost is fixed cost?
Selling cost which remains fixed and don't have any impact on production level is called fixed cost.
What cost is not a fixed cost?
A cost which varies with the level of production activity is not a fixed cost and called variable cost.
Is the cost of a new factory an example of a fixed cost?
yes it is an example of fixed cost
How do you calculate your variable cost and fixed cost given total costs and sales volumes?
Total Costs = Fixed Cost + Variable Cost soVariable Cost = Total Costs - Fixed Cost.
Is rent fixed cost?
yes rent is usally a fixed cost
What happens to the value of average fixed cost as the level of output increases?
The average fixed cost is equal to fixed cost divided by level of output, if the output increases; the average fixed cost is less.
