Question

What is cost and explain the different types of costs with examples. Please explain briefly.

Answer 1

ans:  In production, research, retail, and , a cost is the value of money that has been used up to produce something deliver a service, and hence is not available for use anymore. In business, the cost may be one of acquisition, in which case the amount of money expended to acquire it is counted as cost.

example of fixed and variable costs.....

The two basic types of costs incurred by businesses are fixed and variable. Fixed costs do not vary with output, while variable costs do. ... It takes more labor and material to produce more output, so the cost of labor and material varies in direct proportion to the volume of output.