Give an example of a fixed cost and a variable cost of a bakery?

1

1 Answers

Oddman Profile
Oddman answered
The cost of rent does not vary from month to month, nor does it depend on the amount the bakery produces. It is a fixed cost.

The cost of flour (raw materials) probably varies from month to month. It certainly depends on the production rate of the bakery. It is a variable cost.

Answer Question

Anonymous