Variable costs may include labor, commissions, and raw materials. Fixed costs remain the same regardless of production output. Fixed costs may include lease and rental payments, insurance, and ...

Raw materials may cost $0.50 per pound for the first 1,000 pounds, while orders of greater than 1,000 pounds are charged $0.48. ... Since fixed costs are more challenging to bring down ...

raw materials; wages (staff paid per hour) ... For example if a business has fixed costs of £18,500 and variable costs of £9,250, their total costs would be £18,500 + £9,250 = £27,750.