Indirect costs are expenses not directly linked to making products or delivering services. In the case of an automaker’s ...

courtneyk / Getty Images Fixed costs are expenses that remain the same no matter how much a company produces, such as rent, property tax, insurance, and depreciation. Variable costs are any ...

What Are Variable Costs? Variable costs are unfixed, discretionary costs that include gas, clothing, entertainment, pet supplies and dining out at restaurants. Your electric bill is a variable ...

It tracks both the fixed and variable costs within business operations. However, it's not part of the generally accepted accounting principles (GAAP) and can only be used for internal management ...