Variable Cost Ratio,
Variable Cost Ratio: What is the Meaning of Variable Cost Ratio?
The variable cost index is a calculation of the cost of increasing production in relation to an increase in income as a result of an increase. Estimating the variable cost ratio allows the company to find the ideal balance between increasing revenue and increasing production costs.
- The variable cost ratio represents the additional costs generated by the surplus production.
- A high index indicates that the company may benefit from relatively low sales because it has lower fixed costs.
- A lower rate indicates that the company has higher fixed costs and needs to balance itself before making a profit.
Literal Meanings of Variable Cost Ratio
Variable:
Meanings of Variable:
Is contradictory or has a fixed pattern that can change.
It can be changed or customized.
Elements, features or factors that may vary or change.
Sentences of Variable
The quality of hospital food varies greatly.
Drill variable speed
There are many variables involved in making meaningful predictions.
Synonyms of Variable
unsettled, inconstant, capricious, unfixed, mutable, undependable, unstable, fluctuating, unsteady, variational, chameleonic, fluid, movable, protean, wavering, floating, up and down, shifting, unreliable, changeable, unpredictable, irregular, uneven
Cost:
Meanings of Cost:
Payment (amount of money) is required before receiving or performing (an item or action).
Appreciate the price.
The amount that is paid or spent to buy or receive something.
Sentences of Cost
Each issue of the magazine costs 1.
Your job is to plan and calculate the cost of the media program for the campaign.
We can cover the cost of the event.
Synonyms of Cost
sell for, estimate the cost of, price, quotation, value, asking price, estimate the price of, set someone back, tariff, market price, rate, put a price on, damage, selling price, face value, charge, knock someone back, rental, fee, fetch, go for, evaluate, put a figure on, put a value on, worth, toll, hire charge, fare
Ratio:
Meanings of Ratio:
A quantitative relationship between two quantities that indicates how many times one value contains or is included in another.
Sentences of Ratio
The male-female employment ratio is 8 to 1
Synonyms of Ratio
relationship, balance, correspondence, quantitative relation, proportion, correlation, comparative number/extent, fraction, quotient, percentage
Variable Cost Ratio,
Variable Cost Ratio: What is the Meaning of Variable Cost Ratio?
Variable Cost Ratio can be defined as, The variable cost ratio is an increase in the cost of the offer in relation to the increase in revenue as a result of the increase. Estimating the variable cost ratio allows companies to find the maximum balance between increasing revenue and increasing auction costs.
- The variable cost ratio refers to the additional costs that come with increasing bids.
- Higher quotas mean that the company can benefit from relatively lower sales because it has lower fixed costs.
- A lower level indicates that the company has higher fixed costs and must break even in order to make a profit.
Literal Meanings of Variable Cost Ratio
Variable:
Synonyms of Variable
fickle, blowing hot and cold, fitful, varying, inconsistent, vacillating, changeful, volatile, peaky, kaleidoscopic, temperamental, changing
Cost:
Synonyms of Cost
be priced at, valuation, amount to, come to, levy, be valued at
Variable Cost Ratio,
What is The Meaning of Variable Cost Ratio?
The definition of Variable Cost Ratio is: Will Canton specializes in investment and business legislation and regulation. Prior to that, he held senior positions at Investopedia and Kapitall Wire, and earned an MA and PhD in Economics from the New School for Social Research. Doctor of Philosophy of English Literature from NYU.
- The variable cost ratio reflects the additional costs that come with increasing bids.
- The relatively high index indicates that relatively low-selling companies are more likely to make a profit because they contribute more to their fixed costs.
- A relatively low quota means that a relatively low-selling company will make a low profit because it has a relatively small share of its fixed costs.
Literal Meanings of Variable Cost Ratio
Variable:
Sentences of Variable
Drill speed is variable.
Cost:
Meanings of Cost:
Payment (amount of money) of (something or action) is required before it can be obtained or performed.
Ratio:
Meanings of Ratio:
A quantitative relationship between two quantities, how many times one value contains or is included in another.