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Everything looks like a nail, inc. is a manufacturing company that produces hammers. the company faces various fixed and variable costs in the short run. determine which of everything looks like a nail's costs are fixed costs and which are variable costs. assume the company cannot easily adjust the amount of capital that it uses and that salaries are negotiated only once per year.

Respuesta :

Examples of fixed costs include equipment costs and salaries; while variable costs include costs of materials and transportation costs.

What is "cost"?

In a company, costs include all the money that has to be paid for the company to offer a product or service.

What is the difference between a variable cost and a fixed cost?

Variable costs can vary or change depending on the number of units produced; on the other hand, fixed costs are constant.

What are some fixed and variable costs?

Fixed costs:

  • Equipment cost.
  • Interests on a debt.
  • Salaries.

Variable costs:

  • Cost of materials such as metal or wood.
  • Transportation and packaging costs.

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