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

So many of a business’ costs fluctuate based on operations. For example, the more products you make, the more you’ll spend on materials to make them. However, there are several important costs that ...

In accounting, contribution margin actually refers to the difference between sales revenue and variable costs. Contribution is also known as gross profit. The contribution is the first profit level ...

Accountants categorize manufacturing companies' operating costs as fixed manufacturing overhead costs and variable manufacturing costs. Managers use these costs in a variety of ways. For instance, a ...

Being able to survive and thrive as a business owner has as much to do with managing costs as it does with generating revenue. Like the chief financial officer of any company, you have to be concerned ...

Every business has operating expenses — that is, the costs of running the business. These expenses can generally be classified in two ways: Fixed expenses and variable expenses. Understanding the ...

Brian Beers is a digital editor, writer, Emmy-nominated producer, and content expert with 15+ years of experience writing about corporate finance & accounting, fundamental analysis, and investing. Amy ...

Opinions expressed by Entrepreneur contributors are their own. 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 ...

A new method for estimating US refinery fixed costs is useful for comparing data between different refineries and is based on the market approach that uses comparable sales. The Uniform Standards of ...