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 ...

Learn what flow and stock variables mean in simple terms. Understand how income, wealth, GDP, and debt connect through time and why this matters in economics and everyday life.

The amount of money many companies spend is in many ways directly proportionate to how much they produce. That is, there are a lot of variable costs that come with running a company. These costs are ...

Business managers analyze variable and fixed expenses to know costs of business operations and expand on methods of increasing profits. Knowing both variable and fixed expenses helps management to ...

Nowadays, we are used to prices of products and services that fluctuate in a wide range. Because of this variability, people will pay dramatically different amounts of money for the product or service ...

As you work to create a budget, it’s important to understand how fixed and variable expenses will impact your bottom line. David McMillin writes about credit cards, mortgages, banking, taxes and ...

A major part of budgeting is projecting fixed expenses versus variable expenses. The fixed ones are often much simpler to plan for because they will change less frequently and often the merchant ...

In economics, fixed costs and variable costs are two separate components of total cost. Examining the two separately can be useful to demonstrate how much of a company's costs are tied to its level of ...