Tags Economics Business Accounting and Bookkeeping Manufacturing Q&A

Animals & Plants Arts & Entertainment Auto Beauty & Health Books and Literature Business Electronics Engineering & Technology Food & Drink History Hobbies Jobs & Education Law & Government Math People & Society Science Social Studies Sports Travel & Places

0

Subjects>Business>Economics

Is raw material cost variable or fixed costs?

Anonymous

∙ 14y ago

Updated: 8/19/2022

raw material cost variable cost because it change with volume of product i.e. the more you produce the more you have to purchase for raw material. Fixed cost are never change with changing in volume.

Raw Material Cost is variable cost

Wiki User

∙ 14y ago

Still curious? Ask our experts.

Chat with our AI personalities

Rene

Change my mind. I dare you.

Chat with Rene

Devin

I've poured enough drinks to know that people don't always want advice—they just want to talk.

Chat with Devin

Lao

The path is yours to walk; I am only here to hold up a mirror.

Chat with Lao

Add your answer:

Earn +20 pts

Q: Is raw material cost variable or fixed costs?

Write your answer...

Submit

Still have questions?

imp

Continue Learning about Economics

How do you calculate your variable cost and fixed cost given total costs and sales volumes?

Total Costs = Fixed Cost + Variable Cost soVariable Cost = Total Costs - Fixed Cost.

What does total cost of production include?

Variable Costs and fixed costs

How can one determine the variable cost when given the fixed cost in a business scenario?

To determine the variable cost in a business scenario when given the fixed cost, you can subtract the fixed cost from the total cost. Variable costs are expenses that change based on the level of production or sales, while fixed costs remain constant regardless of production levels. By subtracting the fixed cost from the total cost, you can isolate the variable cost component.

What is the difference between average total costs and average variable costs?

Average total cost is the average of all your costs. This is your Fixed Costs and your Variable costs. Average Variable Cost is the average of your costs that can fluctuate.

Relationship between fixed cost and variable cost?

There is a huge relationship between fixed cost and variable cost. These two costs are the opposite of each other.

Trending Questions

How does Adam smith define labor? What price is being paid for silver dimes? What are the contributions of mercantilism to economic thought? What is An economic system is a structure? What economic challenges will countries face in the future? What are the disadvantages for the mining to the land owners? Which three countries do the most trading of goods with the US as of 2010? If automobile workers went on strike causing a decreased supply of cars the supply curve would shift inward to the left and? What are synonyms for affluent? What are some recent articles about globalization and its impact on the economy and society? How did the automobile epitomize the new values of mass consumption and the changing patterns of leisure in America? What is the value of 10 China custom gold units in today's market? How is the value of paper currency determined today? What is the incentive for hard work in a free market economy? What is the future politics in development in any economy? What is the meaning of agricultutre development? Explain the concepts of demand and supply? What are some examples of how economics influences decision-making in various industries? What are contributions that enterprises make to the development of an economy? How does an oversupply affect prices and consumer perceptions of a product?

Related Questions

Is direct material and labor a fixed cost?

If direct material and direct labor remains fixed irrespective of production volume then these are fixed costs otherwise these are variable costs and normally these are variable costs because it varies with the production volume.

Is indirect material fixed costs or variable costs?

Indirect material is normal fixed cost that is why it is allocated using some kind of ratio or formula.

What is the the variable costs plus the fixed costs?

Type your answer here... fixed cost + variable cost = total cost

How do you calculate your variable cost and fixed cost given total costs and sales volumes?

Total Costs = Fixed Cost + Variable Cost soVariable Cost = Total Costs - Fixed Cost.

How do you determine total costs?

Total cost is determined by adding fixed costs and variable costs together. fixed cost + variable cost = total cost

How does Decrease in material costs impact total variable costs?

If material cost is variable cost then yes by decreasing material cost company can reduce total variable cost.

Is Janatorial Costs a fixed mixed or variable cost?

The three types of cost you are referring to are Fixed, Semi Variable and Variable Costs. On a well though out COA the janitorial costs would fall under administrative costs. Thus fixed.

How many types of cost?

There are variable and fixed costs. Businesses can manipulate the variable costs, but they cannot change their fixed costs in business.

Please can you tell me whether labor costs may be both fixed and variable costs?

Labor cost can be fixed as well as variable. That labor which varies with changes in level of production then it is variable cost but if labor remain fixed then it is fixed cost.

What happens when 'fixed cost' decreases?

Cost can be either fixed cost or variable cost. Fixed costs are the costs that are fixed in nature and do not vary with the change in scale of production. Example of fixed costs are: factory rent. Variable costs vary with the change in scale of production. Example: Raw material cost Net Margin= Sales- Fixed cost- Variable cost Decrease in fixed costs lead to increase in margin of an organization; keeping all other things constant. Sometimes, benefit of decrease in fixed cost may be transferred to the consumer in the form of lower price. Lower price results in higher sales volume with lower sales margin per unit.

Is total cost equals semi variable cost?

No. Total cost includes fixed costs, too. Even Semi Variable costs include Fixed costs...??? So whats the difference?

Is direct material a selling cost?

is direct cost a? Selling cost, manufacturing costs, direct, manufacturing cost indirect, general and administrative cost, fixed cost , variable cost, is direct cost a? Selling cost, manufacturing costs, direct, manufacturing cost indirect, general and administrative cost, fixed cost , variable cost,

Resources

Top Categories

Product

Company

Copyright ©2025 Infospace Holdings LLC, A System1 Company. All Rights Reserved. The material on this site can not be reproduced, distributed, transmitted, cached or otherwise used, except with prior written permission of Answers.