fixed cost

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Related to Fixed Expense: Variable costs, Variable Expense

fixed cost

[¦fikst ′kȯst]
(industrial engineering)
A cost that remains unchanged during short-term changes in production level. Also known as overhead; overhead cost.
References in periodicals archive ?
For instance, my gross sales are $400,000, my cost of sales are $240,000 and I have fixed expenses of $170,000.
The increased time in the office will not raise fixed expenses.
While interest rates have continued the downward spiral, most other fixed expenses a cooperative must address have spiked drastically during the same two-year period.
In Table 4, the salary and the portion of the general and administrative costs related to the billings and account receivable functions (BAR) are considered traceable fixed expenses.
Your fixed expenses include: mortgage or rent, property taxes, utilities, homeowner's expenses, car and life insurance, groceries, clothing and dry-cleaning costs, public transportation, gas and maintenance for your car, phone bill, household help, tax liability, credit card and bank payments, and miscellaneous necessary expenses.
In the other direction, fixed expenses (primarily composed of property taxes) that usually rise by 10 percent or more, rose by 6.
Fixed expenses, notably property taxes and insurance, constituted the largest portion of expenses in 1992 (32 percent).
You've estimated that your total fixed expenses for the year will be $200,000 (including rent, insurance and administrative salaries).
The continued rise, however, in fixed expenses has eliminated gains in estimated net operating income.

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