Steven Nickolas is a writer and has 10+ years of experience working as a consultant to retail and institutional investors. David Kindness is a Certified Public Accountant (CPA) and an expert in the ...

Investopedia contributors come from a range of backgrounds, and over 25 years there have been thousands of expert writers and editors who have contributed. Charlene Rhinehart is a CPA , CFE, chair of ...

What Is the Difference Between the Different Cost Types? Fixed costs, variable costs, and total costs all sound similar, but there are significant differences among the three. The main difference is ...

In a business, there are two types of costs: fixed and variable. It’s important to understand the difference between these two types of costs, which costs fit into each category, and how to account ...

Determining your fixed and variable expenses is paramount to effectively building a budget. But while accounting for necessary costs is a simple and straightforward task, including discretionary ...

Budgets are important tools for helping companies analyze their costs and pinpoint ways to maximize their profits. Some companies follow static budgets, which remain constant regardless of sales ...

Being able to survive and thrive as a business owner has as much to do with managing costs as it does with generating revenue. Like the chief financial officer of any company, you have to be concerned ...

In accounting, contribution margin actually refers to the difference between sales revenue and variable costs. Contribution is also known as gross profit. The contribution is the first profit level ...

While business, hospitality and academic studies have debunked the long-held myth of a nearly 90 percent failure rate for restaurants, the actual figure of one in four new restaurants failing in the ...

Cost structures (the ratio of fixed to variable costs) vary across and within industries. Hospital managers and policymakers can make better decisions when they under-stand cost structures, including ...

Budgeting, quite simply, is the act of spending your money efficiently. The importance of budgeting cannot be overemphasized, and whether you’re looking at your individual finances or running a ...