variable cost


Also found in: Financial, Acronyms, Encyclopedia, Wikipedia.
Related to variable cost: Semi variable cost

variable cost

n.
A cost that fluctuates directly with output changes.

variable cost

n
(Economics) a cost that varies directly with output
Translations

variable cost

nvariable Kosten pl
References in periodicals archive ?
As firm management evaluates production cost reduction strategies, they have three options: increase production efficiency, outsource an operating fixed cost component to make it a variable cost, or acquire new technology that reduces unit variable cost.
TABLE 3 Manufacturing Variable Costing Amount Sales for Manufacturing 100% Less Variable Cost (VC) Cost of Material 60% Material Overhead 6% Direct Material 6% Production Overhead 20% Selling Expenses 2% 94% Contribution Margin (CM) 6% Less Fixed Cost (FC) Material Overhead 2% Production Overhead 0% Selling Expenses 1% General Admin Expenses 1% 4% Net Operating Income / Loss 2% Break-even (FC / CM %) 67% Sales Revenue Above (Below) BE 33% And for the Chinese distribution parts:
This subsection presents the TFP growth formula based on the variable cost function.
Specifically, if cuts are made in variable cost accounts, the organization impairs its ability to perform work; however, if cuts occur in fixed cost accounts, the organization's internal support capacity is lessened.
With a variable-cost model, some fixed costs are replaced with variable costs. Under this model, an organization might willingly forfeit some profit during peak demand periods in exchange for improved margins when demand falters.
* incorporating both fixed and variable cost of activities; and
Lower operating leverage are positive indicator which can be result from low fixed to variable cost component in compensation.
The total cost representation consisting of fixed costs and variable costs in duck breeding business of nomadic maintenance system in Padakkalawa Village is:
Thus for every $1 in variable cost, where all variable costs are included, the following is true about markup percentage and contribution margin:
Variable cost consists of reported operating expenses, including wages and salaries (including general officers and clerks), animal feeding and horse shoeing, light and fuel, expenses for repairs of cars and tracks, water, legal, advertising and snow removal expenses.
We found that the entry thresholds for the private investors of PPP projects in elderly care industry decrease with the increase of expected growth rate and government subsidy and increase with the increase of volatility, discount rate, fixed cost, and variable cost. By comparing the dependencies of thresholds on different parameters, we found that volatility had more significant effect on thresholds than expected growth rate and that variable cost had more significant effect than fixed cost.

Full browser ?