Cost Descriptors Memo
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Title: Cost Descriptors Memo

Essay Details:

Subject: Business
Author: Mary K
Date: November 18, 2013
Level:
Grade: A
Length: 3 / 887

Essay text:

The terms of importance include, but are not limited to: fixed, variable, direct, indirect, sunk, marginal and total cost. Fixed Cost Fixed cost is a cost that does not vary depending on production or sales levels, such as rent, property tax, insurance, or interest expense (Investorwords, 2008). Fixed costs remain constant regardless of the company’s activities. An example of one of our organization’s fixed cost is the building lease. If we lease our office building for $4500 per month, this will stay the same regardless of the financial performance of the company. Other examples of fixed costs include insurance and property taxes...

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