What is a variable cost?

What is a variable cost? variable cost Variable cost examples · Cost of raw materials Perhaps these are the largest variable cost of most businesses · Direct labor costs fixed cost How to Calculate Variable Cost With Formula and Examples · Total output quantity x variable cost of each output unit = total variable cost

fixed cost Variable costs are costs that vary based on the volume of products you're selling Essentially, the variable cost of a product is the ratio of sales versus to

cost of goods sold Variable costs mean expenses that are affected by the changes in production and sales If a company increases sales, it will increase production Variable costs are the costs a company incurs proportionately to production quantity or revenue, including any costs that fluctuate