
Variable Cost | Examples & Meaning | InvestingAnswers
May 31, 2021 · What is variable cost and how does it affect company finances? Our expert financial definition helps you learn about variable cost with examples.
Fixed Costs | Example & Definition | InvestingAnswers
Jan 10, 2021 · What is a fixed cost? How is it different from variable cost? Discover more about fixed costs (with easy-to-understand examples) at InvestingAnswers.
Operating Leverage Definition & Example | InvestingAnswers
Aug 28, 2020 · Operating Leverage -- Formula & Example Here is the formula for operating leverage: Operating Leverage = [Quantity x (Price - Variable Cost per Unit)] / Quantity x (Price - Variable Cost …
Break-Even Point | Example & Definition | InvestingAnswers
Aug 27, 2020 · Variable costs: costs that are dependent on the number of units produced (e.g. raw materials, hourly wages) Selling price: the price the product is sold for Using this data, the break …
Cost Per Unit Definition & Example | InvestingAnswers
Oct 1, 2019 · Company XYZ's cost per unit is: $10,000 / 5,000 = $2 per unit Often, calculating the cost per unit isn't so simple, especially in manufacturing situations. Usually, costs per unit involve variable …
Long-Run Average Total Cost (LRATC) - InvestingAnswers
Aug 21, 2020 · What Is Long-Run Average Total Cost (LRATC)? Long-run average total cost (LRATC) represents the average cost per unit of production over the long run. In this calculation, all inputs are …
Interest Expense Definition & Example | InvestingAnswers
Sep 29, 2020 · The rate of interest reflects the time value of money, the borrower's credit risk, inflation rates, and a variety of other market conditions. Interest can be fixed or variable, meaning that the …
Variable Interest Rate Definition & Example | InvestingAnswers
Oct 1, 2019 · In another example, if your mortgage interest rate is a variable rate (that is, it is adjustable), your rate rises and falls with the market and you and your payments get to go along for …
Elasticity | Examples & Definition | InvestingAnswers
Mar 16, 2021 · Elasticity is a measure of the change in one variable in response to a change in another, and it’s usually expressed as a ratio or percentage. In economics, elasticity generally refers to …
Gross Profit | Definition & Examples | InvestingAnswers
May 17, 2021 · What is gross profit and how is it calculated? Our expert financial definition uses simple language and real-world examples of gross profit.