Understanding Cost Behavior: Variable, Fixed, and Mixed Costs

Hello Dr. Wilson and Classmates, "Cost behavior is the manner in which expenses are impacted by changes in business activity (Campbell, 2022). The general types of cost behavior are variable, fixed, and mixed (semi-fixed) costs. Variable cost varies concerning either production volume or the number of services provided (Gapenski, 2015, p. 162). Some examples of variable costs are the cost of gasoline, repairs for one's home and car, and emergency bills. Fixed cost does not increase or decrease in conjunction with any activities (Gapenski, 2015, p. 161). Examples of fixed costs are payment of one's rent, paying one's property taxes, and the cost of our insurance. Finally, the mixed cost is a cost that contains both the fixed cost component and a variable cost component. Examples of mixed costs are utilities, telephone bills, and automobile leasing. V/r, Jo Reference: Campbell, J. (2022, February 14).How to create a personal balance sheet and determine your net worth. Money Management International. Retrieved March 27, 2023, from https://www.moneymanagement.org/blog/how-to-create-a-personal-balance-sheet-and- determine-your-net-worth Gapenski, L. (2015).Healthcare Finance: An Introduction to Accounting and Financial Management(6th ed.). Health Administration Press. https://full- bookshelf.vitalsource.com/books/9781567937428