Answer:
Variable versus Fixed Costs
Cash cost Non-cash cost
Variable cost Fuel, seed, fertilizer, herbicides, equipment repair, hired labor Some tractor depreciation and interest
Fixed cost Property tax, insurance, self-employed labor Some tractor depreciation, implement depreciation and interest, land charge
Explanation:
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Answer:
Fixed assets are things that do not change with production levels like rent, electricity, and machinery.
Explanation:
Variable costs are used during the manufacturing process. For instance, the variable costs in making a meal are the ingredients The fixed cost would the electricity, the stove, the frying pan.
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