What are variable costs?

variable cost  VARIABLE COST definition: a cost that changes according to how much of a product is being produced or used: Learn more  Variable Cost Formula To calculate variable costs, multiply what it costs to make one unit of your product by the total number of products you'

A variable cost remains the same per unit but changes in total Variable cost examples include sales commissions, hourly workers, and units-of-production method Divide total variable costs by number of units The resulting number will be your variable cost per unit Variable cost

Variable costs are recurring expenses that change depending on how many goods your business produces or how many services you provide They're How to Calculate Variable Cost With Formula and Examples · Total output quantity x variable cost of each output unit = total variable cost