CA Foundation Exam > CA Foundation Videos > Business Economics for CA Foundation > Fixed & Variable Cost
Fixed & Variable Cost Video Lecture | Business Economics for CA Foundation
|
135 videos|190 docs|88 tests
|
FAQs on Fixed & Variable Cost Video Lecture - Business Economics for CA Foundation
| 1. What are fixed costs? |  |
Ans. Fixed costs are expenses that do not change with the level of production or sales. They are incurred regardless of the volume of output and remain constant over a certain period. Examples of fixed costs include rent, salaries, and insurance premiums.
| 2. What are variable costs? | |
Ans. Variable costs are expenses that change in direct proportion to the level of production or sales. These costs fluctuate depending on the volume of output. Examples of variable costs include direct labor, raw materials, and sales commissions.
| 3. How do fixed costs and variable costs differ? | |
Ans. Fixed costs and variable costs differ in terms of their behavior with changes in production or sales. Fixed costs remain constant regardless of the volume of output, while variable costs fluctuate proportionally with the level of production or sales. Fixed costs are incurred regardless of activity levels, while variable costs are directly related to activity levels.
| 4. How do fixed and variable costs impact a company's profitability? | |
Ans. Fixed costs can have a significant impact on a company's profitability as they must be covered by the revenue generated. If a company's sales decrease, fixed costs remain constant, which can lead to lower profits or even losses. On the other hand, variable costs directly affect the cost of producing goods or services, and managing them efficiently can contribute to improving profitability.
| 5. Can fixed costs become variable costs over time? | |
Ans. Yes, fixed costs can become variable costs over time. For example, a company may choose to outsource a function that was previously performed in-house, such as customer support or manufacturing. In this case, the fixed costs associated with maintaining an in-house department would be replaced by variable costs incurred when outsourcing to a third-party provider. Changes in business strategies or technological advancements can also lead to the transformation of fixed costs into variable costs.
Related Exams
About this Video
|
4.90/5 Rating |
|
Nov 16, 2024 Last updated |
Video Description: Fixed & Variable Cost for CA Foundation 2024 is part of Business Economics for CA Foundation preparation.
The notes and questions for Fixed & Variable Cost have been prepared according to the CA Foundation exam syllabus.
Information about Fixed & Variable Cost covers all important topics for CA Foundation 2024 Exam.
Find important definitions, questions, notes, meanings, examples, exercises and tests below for Fixed & Variable Cost.
Introduction of Fixed & Variable Cost in English is available as part of our Business Economics for CA Foundation for CA Foundation & Fixed & Variable Cost in
Hindi for Business Economics for CA Foundation course. Download more important topics related with notes, lectures and mock test series for
CA Foundation Exam by signing up for free.
Description
Video Lecture & Questions for Fixed & Variable Cost Video Lecture | Business Economics for CA Foundation - CA Foundation full syllabus preparation | Free video for CA Foundation exam to prepare for Business Economics for CA Foundation.
Information about Fixed & Variable Cost
Here you can find the meaning of Fixed & Variable Cost defined & explained in the simplest way possible.
Besides explaining types of Fixed & Variable Cost theory, EduRev gives you an ample number of questions to practice Fixed & Variable Cost tests,
examples and also practice CA Foundation tests.
|
135 videos|190 docs|88 tests
|
|
Explore Courses for CA Foundation exam
|
|
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
Related Searches
practice quizzes
,Objective type Questions
,Fixed & Variable Cost Video Lecture | Business Economics for CA Foundation
,Previous Year Questions with Solutions
,Summary
,Exam
,mock tests for examination
,Important questions
,past year papers
,study material
,video lectures
,MCQs
,Free
,Viva Questions
,shortcuts and tricks
,Fixed & Variable Cost Video Lecture | Business Economics for CA Foundation
,ppt
,Extra Questions
,Sample Paper
,Semester Notes
,Fixed & Variable Cost Video Lecture | Business Economics for CA Foundation
;
Study Fixed & Variable Cost on the App
Students of CA Foundation can study Fixed & Variable Cost alongwith tests & analysis from the EduRev app,
which will help them while preparing for their exam. Apart from the Fixed & Variable Cost,
students can also utilize the EduRev App for other study materials such as previous year question papers, syllabus, important questions, etc.
The EduRev App will make your learning easier as you can access it from anywhere you want.
The content of Fixed & Variable Cost is prepared as per the latest CA Foundation syllabus.
|
© EduRev
|
Education Revolution
|
Follow Us
|
Signup to see your scores
go up within 7 days!
Access 1000+ FREE Docs, Videos and Tests
Takes less than 10 seconds to signup