Fixed Cost

fixed cost  Fixed cost is one of the two major components of the total cost of production The other component is the variable cost Examples are monthly Definition of Fixed Cost A fixed cost is one that does not change in total within a reasonable range of activity Since the fixed cost remains constant in

We can show fixed costs on the production costs graph of a firm This graph is plotted with cost on the vertical axis and quantity of output on the horizontal Fixed costs are expenses that do not change with the level of production or sales within a

…as the combination of all fixed costs , which do not change with the quantity of output produced, A fixed cost is a business expense that does not fluctuate due to factors like production volume or sales figures