Investopedia contributors come from a range of backgrounds, and over 25 years there have been thousands of expert writers and editors who have contributed. Charlene Rhinehart is a CPA , CFE, chair of ...

Cost structures (the ratio of fixed to variable costs) vary across and within industries. Hospital managers and policymakers can make better decisions when they under-stand cost structures, including ...

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 ...

The high-low method is used in cost accounting to estimate fixed and variable costs based on a business's highest and lowest levels of activity. By focusing on these extremes, the high-low method ...

Brian Beers is a digital editor, writer, Emmy-nominated producer, and content expert with 15+ years of experience writing about corporate finance & accounting, fundamental analysis, and investing.

Budgets are important tools for helping companies analyze their costs and pinpoint ways to maximize their profits. Some companies follow static budgets, which remain constant regardless of sales ...

Understanding the cost of each unit you produce is essential to ensure your business remains profitable. To calculate the cost per unit, add all of your fixed costs and all of your variable costs ...

Overhead costs are expenses tied to things other than the production of goods or services. Here's how to calculate overhead.

For the beginning investor, one of the most important keys to learning about a business is understanding its financial statements. And of the three major statements -- the balance sheet, income ...

Revenue is any money that a business makes from selling its goods and services, whereas costs are anything that a business pays for. Businesses need revenue to ensure that they can maintain their ...