Basic costs. What relates to fixed costs: the conditionality of costs and their relationship

As part of the costs of any enterprise, there are so-called forced costs. They are associated with the acquisition or use different means production.

Cost classification

All costs of the enterprise are divided into variable and fixed. The latter include payments that do not affect the volume of output. Accordingly, we can say . Among them, in particular, the cost of renting premises, management costs, payment for risk insurance services, payment of interest for the use of credit funds, etc.

What costs are included in variable costs ? This category of costs includes payments that directly affect the volume of production. Variable costs include the cost of raw materials and materials, remuneration of personnel, purchase of packaging, logistics, etc.

Fixed costs always exist throughout the life of the business. Variable costs, in turn, are absent when the production process is stopped.

Such a classification is used to determine the company's development strategy over a certain period.

In the long run, all types of costs can treat variable costs. This is due to the fact that all of them to some extent affect the volume of output. finished products and extracting profit from the production process.

Cost value

In a relatively short period, the enterprise will not be able to radically change the way goods are produced, the parameters of capacities, or start the production of alternative products. However, during this time it is possible to adjust the indexes of variable costs. This, in fact, is the essence of cost analysis. The manager, by adjusting individual parameters, changes the volume of production.

It is impossible to significantly increase the amount of output by adjusting this index. The fact is that at a certain stage of an increase in only those costs that will not lead to a significant jump in growth rates, it is necessary to adjust part of the fixed costs. In this case, you can rent additional production space, launch another line, etc.

Types of variable costs

All costs that are classified as variable costs. are divided into several groups:

• Specific. This category includes costs that arise after the creation and sale of one unit of goods.
• Conditional. To conditionally variable costs include all costs that are directly proportional to the current amount of output.
• Average variables. This group includes the average values ​​of unit costs taken over a certain period of time of the enterprise.
• Direct variables. This type of cost is related to the production of a particular type of product.
• Limit variables. These include the costs incurred by the enterprise with the release of each additional unit of goods.

Material costs

Variable expenses include costs included in the cost of the final (finished) product. They represent the value of:

• Raw materials/materials obtained from third party suppliers. These materials or raw materials must be used directly in the production of products or be part of the components needed to create them.
• Works/services provided by other business entities. For example, the enterprise used a control system supplied by a third-party organization, the services of a repair team, etc.

implementation costs

To variables include costs for logistics. We are talking, in particular, about transportation costs, costs for accounting, movement, write-off of valuables, costs for the delivery of finished products to warehouses trade enterprises, into points retail etc.

Depreciation deductions

As you know, any equipment used in the production process wears out over time. Accordingly, its effectiveness is reduced. To avoid negative impact moral or physical deterioration of equipment in the production process, the company transfers a certain amount to a special account. These funds at the end of their service life can be used to upgrade obsolete equipment or purchase new ones.

The deduction is carried out in accordance with the depreciation rates. The calculation is made on the basis of the book value of fixed assets.

The depreciation amount is included in the cost of finished products.

Remuneration of staff

Variable expenses include not only the direct earnings of employees of the enterprise. They also include all mandatory deductions and contributions established by law (amounts in the Pension Fund of the Russian Federation, the Compulsory Medical Insurance Fund, personal income tax).

Calculation

A simple summation method is used to determine the amount of costs. It is necessary to add up all the costs incurred by the enterprise during a certain time. For example, the firm spent:

• 35 thousand rubles on materials and raw materials for production.
• 20 thousand rubles - for the purchase of containers and logistics.
• 100 thousand rubles - to pay salaries to employees.

Adding the indicators, we find the total amount of variable costs - 155 thousand rubles. Based on this value and the volume of production, you can find their specific share in the cost.

Let's say an enterprise has produced 500 thousand products. Specific costs will be:

155 thousand rubles / 500 thousand units = 0.31 rub.

If the company produced 100 thousand more goods, then the share of expenses will decrease:

155 thousand rubles / 600 thousand units = 0.26 rubles.

Break even

This is a very important indicator for planning. It represents the state of the enterprise in which the output is carried out without loss to the company. This state is ensured by a balance of variable and fixed costs.

The break-even point must be determined at the planning stage of the production process. This is necessary so that the management of the enterprise knows what the minimum amount of production needs to be produced in order to pay off all costs.

Let's take the data from the previous example with a few additions. Suppose the amount of fixed costs is 40 thousand rubles, and the estimated cost of a unit of goods is 1.5 rubles.

The value of all costs will be - 40 + 155 = 195 thousand rubles.

The break-even point is calculated as follows:

195 thousand rubles / (1.5 - 0.31) = 163,870.

That is how many units of production the enterprise must produce and sell to cover all costs, i.e., to reach "zero".

Variable expense rate

It is determined by indicators of estimated profit when adjusting the amount of production costs. For example, when new equipment is put into operation, the need for the previous number of employees will disappear. Accordingly, the volume of the wage fund may be reduced due to a decrease in their number.

In accounting, in addition to an impeccable knowledge of accounts and transactions, it is important to correctly operate with special terms. This is a sign of professional literacy. But there are situations when the luminaries of accounting get confused in terms. The Russian language is very rich! In many foreign languages One word has different shades depending on the context. But it's not so easy for us. The concept of costs and expenses is one such difficult cases. At first glance, it seems that these are synonyms. Is it really? Or do these two categories have fundamental differences? Let's figure it out.

Costs as they are

Costs are the resources used to produce and sell products in monetary terms. At the same time, resources can be natural (water, gas, electricity ...), material (raw materials, semi-finished products, fuel, building materials, spare parts ...), labor (live and materialized labor) and financial. That is, costs can be considered any payments to the company for the use of economic resources.

Main cost features:

• Always associated with the acquisition, processing and storage of resources. Costs show what was used and how much;
• They must be expressed in units of value. So different resources become comparable and can be summed up (how else can you combine kilograms with kilowatts and man-hours?);
• They are always tied to specific goals (for the production of goods, works, services; for servicing a structural unit). It is customary to compare costs with the results of production activities;
• They are considered company assets. If the costs are not completely written off for a specific product (work, service), then they turn into stocks. This is how inventories, work in progress and finished products in stock are formed;
• Relate to a specific time (reporting) period (month, quarter, year).

Costs arise when one asset is exchanged for another of equal size: one increases and the other decreases by the same amount. As an exception, payroll is considered. In this case, one asset will increase due to a simultaneous and equal increase in the liability to employees. But equity costs never hurt.

Remember! Costs are recorded at the time of production consumption. They do not form financial results, but only accumulated, which is called costing. Only in the future they are transformed into the actual cost of products (services, works). They do not reduce the capital of the enterprise.

Classification of costs by degree of occurrence

There are many ways to classify costs. But we will focus on those that most characterize the essence of the concept.

According to the degree of occurrence and attribution to the result of production, costs are:

• Capitalized - primary receipt and reflection in the balance of resources (inventory, goods, fixed assets);
• Recapitalized - re-reflecting previously acquired resources in the balance sheet; formation of a new group of assets at the expense of previously displayed resources (work in progress, finished products);
• Decapitalized - a decrease in the financial result due to the unproductive use of resources (damage, loss);
• Current - administrative and marketing (commercial) costs.

Expenses as they are

Expenses (according to PBU 10/99) are when the economic benefit decreases due to the disposal of monetary or other assets and (or) liabilities arise, which entails a decrease in the company's capital, except for a decrease in deposits by decision of the founders (owners).

Expenses (according to the Tax Code of the Russian Federation, chapter 25) are justified (i.e., economically justified and having a monetary value) and documented (directly or indirectly) expenses. It turns out that the tax legislation considers expenses as a special case of expenses.

Costs in accounting become expenses when:

• No formation of an asset;
• Available current assets written off for non-production needs;
• Non-current assets are written off for any reason.

Due to the principle of matching expenses and income, expenses in a particular reporting period are always associated with production and sales at the same time. It is at the time of sale of products that three key indicators are recognized:

• Income (through the selling price);
• Expenses (through cost price);
• Profit/Loss ("Income" minus "Expenses").

Expense accounting starts with certain events. For example:

• Shipment of products - finished products (asset) are disposed of at cost, which less price implementation. That is, the formed receivables will be greater than the value of the retired asset;
• Recognition of fines - liabilities increase, but no assets appear on the balance sheet;
• Write-off of a hopeless accounts receivable Assets decrease, but liabilities do not decrease. There is a loss - a decrease in equity;
• Recognition of a negative foreign exchange difference - liabilities will increase without any increase in assets.

Remember! Any expenses for the purpose of generating income can be considered expenses. Expenses in accounting are reflected at the time of payment, while both the actual purchase and the installment purchase (calculation by promissory note instead of money or by the appearance of ordinary accounts payable) are considered payment. They form the financial result and therefore are reflected in the corresponding financial report.

Classification of expenses by type of activity

By type of activity, the expenses of the organization are distinguished:

• Ordinary - these are expenses associated with the main, financial, investment and other statutory activities of the enterprise;
• Extraordinary - these are expenses associated with force majeure situations due to the influence of an irresistible natural force ( natural disasters) or provoked by the activity / inactivity of people (fire, war, man-made accident).

Accounting for extraordinary expenses is carried out in the following areas:

• Elimination of consequences (if the harm is reparable);
• Loss of assets (if the harm is irreparable);
• Other losses provoked by the stoppage of production.

How do costs and expenses relate to each other?

There are three situations of correlation between the two categories:

• Costs ˂ Costs- the funds are spent, but the asset is not received for production consumption. The funds spent can be considered as expenses of future periods, especially when it comes to the development of new production or advance payments for the rental of premises;
• Costs = Costs- the funds are spent and the acquired asset is fully used during the production and sale of products. Formed both production and full cost. it perfect option coincidences, simplifying accounting;
• Costs > Costs- an asset that is in stock or in reserve is used in production and is included in the cost price. Or accrued wages to workers for the past period. But there was no sales.

Be careful! In some regulations (for example, PBU 18/02), there is a confusion of terms. The difference in interpretations in tax and financial accounting makes it difficult to distinguish between costs and expenses. Pay attention to what exactly you are considering and for what purpose.

The collection and processing of information in management accounting are carried out in order to meet the needs in solving various tasks. Depending on the tasks set, approaches to the procedure for collecting and processing information are also formed. An important place in the management accounting system is occupied by the concept of costs and their classification, which is one of the main objects of management accounting.

In management accounting, the purpose of any classification of costs should be to assist the manager in making correct, rationally justified decisions. When making decisions, the manager must know the degree of influence of costs on the level of cost and profitability of production. Therefore, the essence of the cost classification process is to highlight the part of the costs that the manager can influence.

In accordance with the directions of cost accounting in management accounting, the following classification groups of costs are distinguished (Fig. 2.1).

Rice. 2.1. Classification of costs in management accounting

Consider classification of costs to determine the cost, estimate the cost of inventory and profit.

1. Accounting for the total amount of production costs is organized by economic elementscosts, and accounting costing certain types of products, works and services - by cost item. This type of classification is defined economic content costs incurred.

An economic element is a homogeneous type of cost that cannot be decomposed into any component parts. For economic elements, cost estimates are made. There are five cost elements:

– material costs (minus the cost of returnable waste);

- labor costs;

– deductions for social needs;

– depreciation of fixed assets;

- other expenses.

To control the composition of costs at the places of their commission, it is necessary to know not only what was spent in the production process, but also for what purposes these costs were incurred, i.e. take into account the costs in areas, in relation to the technological process. This accounting allows you to analyze the cost of its constituent parts and for some types of products, to establish the volume of costs of individual structural units. The solution of these problems is carried out by applying the classification of costs by costing items. The list of costing items, their composition and methods of distribution by type of product are determined in accordance with industry guidelines, based on the characteristics of technology and organization of production by the enterprise itself. However, there is an approximate typical nomenclature of cost items for various industries:

1. Raw materials

2.Purchased products, semi-finished products and services of third parties

3.Returnable waste (deductible)

4. Fuel and energy for technological purposes

5. Transport and procurement costs

Total: Materials

6. Basic wages of production workers

7. Additional wages for production workers

8. Deductions for social needs from the main and additional wages

9.Expenses for the preparation and development of production

10.Expenses for the maintenance and operation of machinery and equipment (RSEO)

11. General production costs

Total: shop cost

12. General business expenses

13. Loss from marriage

Total: Production cost

12. Commercial (non-production) expenses

Total: Full cost

Costs for costing items in their composition are wider than elemental ones, tk. take into account the nature and structure of production, creating a sufficient basis for analysis.

2. Incoming and outgoing costs.Incoming costs – these are funds, resources that have been acquired, are available and are expected to generate income in the future. They are shown on the balance sheet as assets.

If these funds (resources) during the reporting period were spent to generate income and lost the ability to generate income in the future, then they are transferred to the category expired. In accounting, the expired costs are reflected in the debit account 90 “Sales”.

The correct division of costs into incoming and outgoing is of particular importance for assessing profits and losses.

3.Direct and indirect costs. To direct costs include direct material costs and direct labor costs. They are recorded under the debit of account 20 “Main production”, and they can be attributed directly to a specific product based on primary documents.

Indirect costs cannot be directly attributed to any product. They are distributed among individual products according to the methodology chosen by the organization (in proportion to the basic wages of production workers, the number of machine hours worked, hours worked, etc.). This technique is described in the accounting policy of the enterprise. Indirect costs are divided into two groups:

General production (production) expenses – These are general shop expenses for the organization, maintenance and production management. In accounting, information about them is accumulated on the account. 25 "General production costs".

General business (non-production) expenses are incurred for the purpose of production management. They are not directly related to the production activities of the organization and are accounted for on account 26 "General business expenses". A distinctive feature of general business expenses is that they do not change depending on changes in the volume of production (sales). You can change them by management decisions, and the degree of their coverage - by sales volume.

The division of costs into direct and indirect depends on the method of attributing costs to the cost of production.

4. Basic and overhead. By technical and economic purpose costs are divided into the following groups:

Main- costs that are directly related to the production process of products, works, services (materials, wages and accruals on the wages of workers, wear and tear of tools, etc.). The main expenses are taken into account on the accounts of production costs: 20 "Main production", 23 "Auxiliary production".

Overhead- the costs of managing and maintaining the production process (general production and general business expenses). Overhead expenses are accounted for on accounts 25 "General production expenses", 26 "General expenses".

5. Production and non-production (periodic costs, or period costs).Production costs - These are costs included in the cost of production. These are material costs, and therefore they can be inventoried. They are made up of three elements:

Direct material costs;

Direct labor costs;

General production expenses.

outside production costs(periodic) - These are costs that cannot be inventoried. These costs do not depend on production volumes, but on the duration of the period. These costs include selling and administrative expenses. Their account is kept on account. 26 "General expenses" and c. 44 Selling costs. Periodic costs are always related to the month, quarter, year during which they were incurred. They do not go through the inventory stage, but immediately affect the calculation of profits. Thus, periodic costs always have the character of outgoing, production costs can be considered incoming.

6. Single element and complex costs. single element call the costs that in this organization cannot be decomposed into components: material costs (minus the cost of returnable waste), labor costs, social contributions, depreciation of fixed assets, other costs. Complex costs are made up of several economic elements. For example, workshop (general production) costs, which include almost all elements.

Such a grouping of costs with varying degrees of detail can be carried out depending on the economic feasibility and desire of management. For example, at enterprises with a high degree of automation, wages with deductions make up less than 5% in the cost structure. At such enterprises, as a rule, direct wages are not allocated, but are combined with the costs of maintenance and production management under the item "added costs".

Because the management decisions tend to be forward-looking, management needs detailed information about expected costs and revenues. In this regard, in management accounting, classification cost groups are distinguished, which are taken into account when making decisions, planning and forecasting.

1. Fixed and variable costs. It is possible to objectively describe the behavior of costs by studying their dependence from production volumes, those. dividing costs into fixed and variable.

variable costs increase or decrease in proportion to the volume of production (services, turnover), i.e. depend on the business activity of the organization. Variable nature can have both production and non-production costs. Examples of production variable costs are direct material costs, direct labor costs, auxiliary materials and purchased semi-finished products. Examples of variable non-manufacturing costs are the costs of warehousing, transportation, packaging finished products, which directly depend on the volume of sales.

Variable costs characterize the cost of the product itself, all other (fixed costs) - the cost of the enterprise itself. The market is not interested in the value of the enterprise, it is interested in the value of the product. Total variable costs ( AT) have a linear dependence on the indicator of business activity of the enterprise, and variable costs per unit of output (specific variable costs - b) is a constant value (Fig. 2.2).

Rice. 2.2. Dynamics of total (a) and specific (b) variable costs

Production costs that remain virtually unchanged during the reporting period, do not depend on the business activity of the enterprise are called permanent production costs. Even when the volume of production (sales) changes, they do not change ( BUT). Fixed costs are payroll costs. management personnel, depreciation deductions of plant management premises, communication services, travel and other management expenses. In practice, the management of the organization makes decisions in advance about what fixed costs should be based on planned estimates for groups of these costs. Fixed costs per unit of output (specific fixed costs - a) decrease stepwise (Fig. 2.3).

Rice. 2.3. Dynamics of total (a) and specific (b) fixed costs

In practice, fixed and variable costs are rare. Most costs have both fixed and variable components. Therefore they talk about conditionally permanent or conditional variables costs. Semi-fixed costs – these are costs growing in leaps and bounds, i.e. at a certain output volume, these costs remain constant, and when it changes, they increase sharply. For example, to increase the number of products produced in the workshop, it is necessary to install another machine, but at the same time as the volume of production increases, fixed costs will increase due to depreciation deductions for the machine.

Conditionally variable costs also change depending on changes in the business activity of the organization, but unlike variable costs, this dependence is not direct. For example, the monthly fee for a telephone includes two components: a fixed part - a monthly fee and a variable - long-distance calls.

To describe the degree of response of variable costs to the volume of production, an indicator is used - cost response factor (K), introduced by the German scientist K. Mellerovich. It characterizes the ratio between the rate of change in costs and the growth rate of business activity of the enterprise and is calculated by the formula:

where Y is the growth rate of costs, %;

Х – growth rates of business activity (volume of production, services, turnover), %.

A variety of variable costs are proportionate costs. They increase at the same rate as the business activity of the enterprise. The cost response factor in this case will be equal to 1 (K=1).

Costs that grow faster than the business activity of the enterprise are called progressive. The value of the cost response factor must be greater than 1 (K > 1).

Finally, costs whose growth rate lags behind the growth rate of the organization's business activity are called degressive. The value of the response coefficient will lie in the following interval: 0< К < 1.

Therefore, any cost general view can be represented by the formula:

where Y - total costs, rub.; A - their constant part, independent of production volumes, rub.; b – variable costs per unit of output (cost response factor), rub.; X is an indicator that characterizes the business activity of the organization (volume of production, services rendered, turnover, etc.) in natural units of measurement. Graphically, the change in costs is shown in Fig. 2.4

Rice. 2.4. Dynamics of total variable and fixed costs

2. Costs taken into account and not taken into account in estimates. The process of making managerial decisions involves comparing several alternative options with each other. . The costs compared in this case can be divided into two groups: constant for all alternative options and changing depending on decision. Costs that are relevant only to a given problem (distinguishing one alternative from another) are called relevant. These are the costs, the amount of which will depend on the decision made. Irrelevant - those that do not depend on the decision made. Accountant-analyst presenting the management with the initial information for selection optimal solution prepares its reports in such a way that they contain only relevant information.

Example. An order has been received to manufacture a product for which the buyer is willing to pay CU250. There is material in stock for which CU100 was once paid, but it is not possible to use it then and now, except for this order. Material processing cost CU 200 At first glance, the order is unprofitable: 250 - (100 + 200) = - 50. However, CU 100 spent a long time ago, due to another decision, and this amount will not change regardless of whether the order is accepted or not. So only the costs of CU200 are relevant in this case. The net income from the order fulfillment will be CU 50.

3. Sunk costs - these are past costs that cannot be changed by any management decisions. Usually they are not taken into account when making managerial decisions.

4. Imputed (imaginary) costs present only in management accounting. They are added when making decisions in case of limited resources, but in reality they may not exist. They characterize the possibilities for the use of productive resources that are either lost or sacrificed in favor of another alternative solution, if the resources are not limited, the opportunity costs are zero.

5. Incremental and marginal costs. Incremental (incremental) costs- are additional and arise as a result of the manufacture and sale of an additional batch of products. Marginal (marginal) costs are incremental costs per unit of output. Thus, both categories of costs appear as a result of the manufacture of additional products, one per unit, and the other - for the entire output.

6. Planned and unplanned costs.Planned are the costs calculated for a certain volume of production. In accordance with the norms, regulations, limits, estimates, they are included in the planned cost of production.

These include all production costs of the organization. not planned- these are costs that are not included in the plan and are reflected only in the actual cost of production (losses from marriage, downtime, etc.).

The classifications of costs discussed above do not solve all the problems of controlling them. Having information about the cost of production, it is impossible to determine exactly how the costs are distributed between individual production sites (responsibility centers). This problem can be solved by linking costs and revenues with the actions of those responsible for spending resources. This approach in management accounting is called taking into account costs by responsibility centers, it is implemented in practice by dividing the costs into the following groups.

1. Regulated and unregulated.Adjustable costs influenced by the responsibility center manager, unregulated he cannot act. For example, the costs associated with the violation of technological discipline in the shop are under the control of the head of the shop, but he cannot influence general expenses, since this is the prerogative of top managers, for him these costs are unregulated.

2. Controlled and uncontrolled. Controllable costs can be controlled by the subjects of management, and uncontrolled costs do not depend on the activities of management personnel (for example, an increase in prices for resources).

3. Effective and inefficient costs.Effective costs- As a result of these costs, they receive income from the sale of those types of products for the release of which these costs were incurred. Inefficient costs- expenses of an unproductive nature, as a result of which no income will be received, since the product will not be produced. In other words, inefficient costs are losses in production (from marriage, downtime, shortages, damage to valuables).

In the activity of any enterprise, the adoption of correct management decisions is based on the analysis of its performance indicators. One of the objectives of such an analysis is to reduce production costs, and, consequently, increase the profitability of the business.

Fixed and variable costs, their accounting is an integral part of not only the calculation of the cost of production, but also the analysis of the success of the enterprise as a whole.

The correct analysis of these articles allows you to make effective management decisions that have a significant impact on profits. For the purposes of analysis in computer programs at enterprises, it is convenient to provide for automatic allocation of costs to fixed and variable based on primary documents, in accordance with the principle adopted in the organization. This information is very important for determining the "break-even point" of the business, as well as assessing the profitability various kinds products.

variable costs

to variable costs includes costs that are constant per unit of output, but their total amount proportional to the output. These include the cost of raw materials, expendable materials, energy resources involved in the main production, the salary of the main production personnel (together with accruals) and the cost of transport services. These costs are directly related to the cost of production. In value terms, variable costs change when the price of goods or services changes. Unit variable costs, for example, for raw materials in the physical dimension, may decrease with an increase in production volumes due, for example, to a decrease in losses or costs for energy resources and transport.

Variable costs are either direct or indirect. If, for example, the enterprise produces bread, then the cost of flour is a direct variable cost, which increases in direct proportion to the volume of bread produced. Direct variable costs may decrease with the improvement of the technological process, the introduction of new technologies. However, if the plant refines oil and as a result receives in one technological process, for example, gasoline, ethylene and fuel oil, then the cost of oil for the production of ethylene will be variable, but indirect. Indirect variable costs in this case, it is usually taken into account in proportion to the physical volumes of production. So, for example, if during the processing of 100 tons of oil, 50 tons of gasoline, 20 tons of fuel oil and 20 tons of ethylene are obtained (10 tons are losses or waste), then the cost of 1.111 tons of oil (20 tons of ethylene + 2.22 tons of waste) is attributed to the production of one ton of ethylene /20 tons of ethylene). This is due to the fact that in a proportional calculation, 20 tons of ethylene account for 2.22 tons of waste. But sometimes all the waste is attributed to one product. For calculations, data from technological regulations are used, and for analysis, actual results for the previous period.

The division into direct and indirect variable costs is conditional and depends on the nature of the business.

Thus, the cost of gasoline for the transportation of raw materials during oil refining is indirect, and for a transport company it is direct, as it is directly proportional to the volume of transportation. The wages of production personnel with accruals are classified as variable costs when piecework payment labor. However, when time payment labor, these costs are conditionally variable. When calculating the cost of production, planned costs per unit of production are used, and in the analysis, actual costs, which may differ from planned costs, both upwards and downwards. Depreciation of fixed assets of production, referred to a unit of output, is also a variable cost. But this relative value is used only when calculating the cost of various types of products, since depreciation, in itself, is a fixed cost / cost.

Read also: What is a letter of credit form of payment: advantages and disadvantages

In this way, total variable costs can be calculated using the formula:

Rperem \u003d C + ZPP + E + TR + X,

C - the cost of raw materials;

ZPP - salary of production personnel with deductions;

E - the cost of energy resources;

TR - transportation costs;

X - other variable expenses that depend on the profile of the company.

If an enterprise produces several types of products in quantities W1 ... Wn and, per unit of production, variable costs are P1 ... Pn, then the total amount of variable costs will be:

Pchange = W1P1 + W2P2 + ... + WnPn

If an organization provides services and pays agents (for example, sales agents) as a percentage of sales, then the remuneration of agents is a variable cost.

fixed costs

The fixed costs of a business are those that do not change in proportion to the volume of production.

The share of fixed costs decreases with the growth of production volume (scale effect).

This effect is not inversely proportional to output. For example, an increase in production volume may require an increase in the number of accounting and sales departments. Therefore, they often talk about conditionally fixed costs. Fixed costs also include expenses for management personnel, maintenance of the main production personnel (cleaning, security, laundry, etc.), organization of production (communications, advertising, banking expenses, travel expenses, etc.), as well as depreciation. Fixed costs are expenses for, for example, the rental of premises, and the rental price may change due to changes in market conditions. Fixed costs include some taxes. These are, for example, the single imputed income tax (UTII) and the property tax. The amounts of these taxes may change due to changes in the rates of such taxes. The amount of fixed costs can be calculated using the formula:

Rpost \u003d Zaup + AR + AM + H + OR