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Fixed Costs
Are costs such do not change along with of the level of output? It is also named as autonomous cost, as it stays the similar irrespective of the activity level as displayed Below:
The classification of cost into variable and fixed costs would merely hold in a relevant range beyond that all costs are variable. The relevant/related range is the activity limits in that the cost behaviour can be predicted.
How do I calculate labour capacity ratio
Managers need financial information to help them make decisions, communicate important information about their organization, and demonstrate fiscal responsibility to stakeholders.
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