variable cost
Noun
Meaning
variable cost (plural variable costs)
(accounting) A cost that changes with the change in volume of activity of an organization.
Variable costs of nuclear-generated electricity seem low.
Variable costs may actually vary with the number of shifts, the number of set-ups, or many other specific activities.
Examples
The Guide is much more comprehensive and informative, providing more aircraft types and models and including variable cost numbers for all models.
Fungicides, used to prevent the significant crop losses from fungal disease, can be a significant variable cost in wheat production.
Often operational efficiency is also greater with increasing scale, leading to lower variable cost as well.
Therefore, total variable cost for each coach was $300.
For example, organizations account for their public cloud service as an operational or variable cost rather than as a capital or fixed cost.