Learn how to distinguish marginal costs by exploring their relationship with fixed and variable costs in production.

Will Kenton is an expert on the economy and investing laws and regulations. He previously held senior editorial roles at Investopedia and Kapitall Wire and holds a MA in Economics from The New School ...

You can categorize your business costs as fixed, variable and mixed based on how they change in response to your sales or production output. Fixed costs remain the same no matter how many units you ...

Both in the mathematical sense and in the business world, an independent variable is one that stands alone and is not affected by outside forces. When it comes to evaluating cost in business, ...

A fixed cost is one that your business incurs whether or not it makes any sales. An example is rent: It has to be paid every month whether or not you're generating any income, and it's the same every ...

Budgets are important tools for helping companies analyze their costs and pinpoint ways to maximize their profits. Some companies follow static budgets, which remain constant regardless of sales ...

Related Terms:Accounting; Bookkeeping; Cost-Benefit Analysis; Economies of Scale Business expenses are categorized in two ways: fixed expenses and variable expenses. Fixed expenses or costs are those ...

Mark J. Kaiser and Brian F. Snyder, Center for Energy Studies, Louisiana State University, Baton Rouge, La. OVERVIEW: Newbuild and replacement cost functions provide insight into the factors that ...