Fixed cost are sometimes variable cost and variable cost sometime fixed discuss
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Fixed cost are sometimes variable cost and variable cost sometime fixed discuss
Since this is obviously a homework question... and site rules require you to do the homewokk first... give your answer to it first. THEN we will discuss it.
To my understaning, fixed cost are somtime variable cost, this happens when the cost bescomes a mixed cost. A mixed cost is a cost that contains both fixed and variable.eg:the annual expenses of operating an automobile is a mixed cost, some of the expenses are fixed ( cost of purshacing the vehicle) and the other is variable( cost of gsa, oil) . The cost of purchasing the vehicle does not change in relation to annual miles cover by the vehicle, this is a fixed cost, on the other hand the cost of gas vary in relation to the miles covered my the vehicle. So the total cost of running a vehicle is mixed
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