Variable Cost
A cost that changes in proportion to a change in a company's activity or business. Investopedia Says:
A good example of variable cost is the fuel for an airline. This cost changes with the number of flights and how long the trips are. Related Terms:
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Contribution Margin
Explicit Cost
Fixed Cost
Implicit Cost
Irrelevant Cost
Operating Leverage
Operating Margin
Relevant Cost
Semi-Variable Cost |