
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.
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 …
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 …
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 …
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 …
Net Income | Example, Formula & Meaning | InvestingAnswers
May 17, 2021 · Net Income Formula If you need to calculate net income for a business, use the following formula: To calculate an individual’s net income, use the following formula (based on …
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 …
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, …
Semi-Variable Cost Definition & Example | InvestingAnswers
Aug 28, 2020 · A semi-variable cost has characteristics of both fixed costs and variable costs once a specific level of output is surpassed.
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.