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Variable(Direct) costs

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on 26 September 2013

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Transcript of Variable(Direct) costs

Business Studies

D
w
I
I
Revenue
Business Studies
What we have learned so far.
Costs
E
e
S
Formula
The formula of Revenue is the number of sales * Cost per unit
What it is?
Revenue is all of the money the business brings in.
How problems can be resolved
P
C
P
C
u
C
By
James Ludbrook
Total costs
Total costs is the money you pay as a business the formula for total cost is Variable Cost + Fixed costs
Fixed costs
Fixed costs are the costs you have to pay as a business no matter how many products the business sells e.g. Electricity, wages, water etc.
Variable costs
variable costs are the costs that can change depending on the amount of products you sell. e.g. Raw products, packaging etc.
Based on Jim Harvey's speech structures
Expenditure and Overheads
Full transcript