Explore BrainMass

Explore BrainMass

    Cost Concepts: Balance of Fixed and Variable Costs

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    Choose an organization that has a high fixed cost and low variable cost balance to run its operations. Discuss the balance of fixed and variable costs for the organization. How can the organization use technology to change this balance for an advantage?

    © BrainMass Inc. brainmass.com October 10, 2019, 4:32 am ad1c9bdddf

    Solution Preview

    An example of such organization will be software companies like Microsoft, Adobe or Mcafee that have high fixed costs but lower variable costs as most of the software companies have to spend on fixed costs like salary of employees for R&D, customer support and development related functions. Once fixed costs are ...

    Solution Summary

    This solution identifies software companies as having high fixed costs and low variable costs. This solution is 191 words.