WebSo, first average of variable cost. That's just taking your variable cost and dividing it by your total output. And so, for at least those first 25 units, they cost on average or just the variable component, you have to be careful is $240. WebDec 25, 2024 · In a situation where a company incurs high variable costs as a percentage of its net sales made, it is most likely that it does not need to cover a lot of fixed costs per month. It means that the company will need to generate enough revenue to cover the fixed costs involved in the production process.
What is Fixed Cost? Formula & Examples Advantages ... - EduCBA
WebFor any data point, the difference between the total mixed cost and the fixed cost is total variable cost and total variable cost divided by the activity level for the data point is variable cost per unit. High-Low Method From a series of data points, uses the data points with the highest and lowest activity level (X values) to develop a ... WebThe data for various levels of production are as follows: Units Produced Total Costs 1,125 $126,000; Question: Ziegler Inc. has decided to use the high-low method to estimate the total cost and the fixed and variable cost components of the total cost. The data for various levels of production are as follows: Units Produced Total Costs 1,125 ... sharing youtube videos
Solved Maintaining low fixed costs and high variable costs - Chegg
Web45 years ago, in (for instance) the manufacturing sector, variable costs were about 33% of retail. So, a nice jacket that retailed at $195.00 would have direct variable cost of about $65.00 (at the factory) with about 40% fixed costs. Today, that same, jacket, retailing at $195.00 has a direct, variable cost of about $6.50. Honest. WebAug 5, 2024 · Amazon Web Services, Amazon.com Inc.’s ( AMZN) division that offers cloud-based solutions for businesses and consumers, incurred huge fixed costs building out … WebWhat mode of transportation has high fixed and low variable costs? Rail Which of the following is not an example of transportation safety regulation? A . Transitioning from stage three to stage four diesel engines to reduce emissions. B. Changing the hours of service. C. Modifying the braking and lighting systems on trucks. D. sharing zoom account