Ask Experts Questions for FREE Help !
Ask
    ARTHIV's Avatar
    ARTHIV Posts: 2, Reputation: 1
    New Member
    		  
    #1

    Apr 29, 2009, 01:09 AM
    Fixed and Variable Expenses
    Please provide with the various fixed and variable expenses of automobile manufacturing firms
    ROLCAM's Avatar
    ROLCAM Posts: 1,420, Reputation: 23
    Ultra Member
    		  
    #2

    Apr 29, 2009, 02:29 AM

    You try and list them all down.
    You try and classify them.
    We shall make the necessary corrections for you if you are wrong.
    ARTHIV's Avatar
    ARTHIV Posts: 2, Reputation: 1
    New Member
    		  
    #3

    Apr 29, 2009, 07:21 AM
    Fixed

    Property Tax
    Interest expenses
    Insurance
    Rents (if any)
    Plant Equipment Expenses
    Salaries
    Utility Costs



    Variable

    Raw Material Cost
    Production Costs
    Transportation
    Power/Energy
    Labour-Wages
    Storage charges (E)
    morgaine300's Avatar
    morgaine300 Posts: 6,561, Reputation: 276
    Uber Member
    		  
    #4

    Apr 29, 2009, 11:49 PM
    Fixed

    Property Tax
    Interest expenses
    Insurance
    Rents (if any)
    Plant Equipment Expenses
    Salaries
    Utility Costs
    All correct, noting that utilities could be fixed, variable or mixed. For auto manufacturing I'd guess mixed.

    Variable

    Raw Material Cost
    Production Costs
    Transportation
    Power/Energy
    Labour-Wages
    Storage charges (E)
    "Production costs" doesn't specify what it is. All direct material, direct labor and overhead are production costs. Overhead could be all sorts of stuff, including fixed. Leave it out.
    Transportation? Are you meaning freight?
    Power/Energy - that's utilities so ditto above comment.
    Storage charges is in my opinion an incremental fixed cost. If you're trying to stay simple, I wouldn't go there.
    You didn't specify that these had to be product costs. Can you think of some selling/admin that might be variable?
Not your question? Ask your question View similar questions
 

Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.


Check out some similar questions!

Fixed or variable cost [ 1 Answers ]

is shipping expense a fixed cost or variable ?

Fixed and variable cost [ 3 Answers ]

A company sells lawnmowers for $895 each. The variable cost per lawnmower is $520. The company’s monthly fixed costs are $84,500. Using the C-V-P equation from question one, compute amount of profit if the company sold 375 lawnmowers.

Fixed and variable costs [ 1 Answers ]

When other factors are constant, what is the effect on profits of an increase in fixed costs? Of a decrease in variable costs?

Fixed vs. Variable Costs [ 3 Answers ]

I'm having trouble identifying the following items as a fixed or variable cost. Can anyone please help?? Here are the items and what I think they are, but I'm not completely sure: Indirect materials--variable Overtime premium pay--variable Polishing compounds--variable Employer's payroll...

Fixed cost are really variable [ 1 Answers ]

I need some help regarding my college assignment.. The question is about fixed cost.. Could somebody please help me? “Fixed costs are really variable. The more you produce, the smaller the unit cost of production.” Is this statement correct? Why or why not? Use an example to explain...

View more questions Search