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Fixed Cost

Last modified by
on
Jul 24, 2020, 6:28:07 PM
Created by
on
Jul 28, 2015, 10:13:51 PM
FC=MC-TVC
(MC)Mixed Cost
(TVC)Total Variable Cost
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The Fixed Cost calculator computes the fixed cost based on the Mixed Cost and Total Variable Cost.

INSTRUCTIONS: Choose units and enter the following:

  • (MC)  This is the mixed costs
  • (TVC) This is the total variable cost

Fixed Cost (FC): The calculator returns the fixed cost in US Dollars.  However, this can be automatically converted to other currencies via the pull-down menu.

The Math / Science

The formula for Fixed Cost is:

   FC =  MC−TVC

where:

  • FC = Fixed Cost
  • MC = Mixed Cost
  • TVC = Total Variable Cost

A cost that does not change with an increase or decrease in the amount of goods or services produced. Fixed costs are expenses that have to be paid by a company, independent of any business activity. It is one of the two components of the total cost of a good or service, along with variable cost.

Economics Calculators

Resource:

  • Dopson, Lea R., and David K. Hayes. Managerial Accounting for the Hospitality Industry. Hoboken, NJ: Wiley, 2009. Print.
  • "Fixed Cost Definition | Investopedia." Investopedia. N.p., 20 Nov. 2003. Web. 07 Aug. 2015.

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