What is Variable Cost?

What is a variable cost? variable cost If sales or production fall, then those costs can also fall The easiest way to determine if a cost is variable, therefore, is to work out if fixed cost Cost is the monetary value of goods and services purchased by producers and consumers For example, a consumer typically equates cost with the price of a

cost of goods sold A variable cost changes with how many sales your business makes or how active it is An example could be bookkeeper's fees which increase as the business