ECONOMICS

Detailed explanation-1: -Overhead costs are important in determining how much a company must charge for its products or services in order to generate a profit.

Detailed explanation-2: -Definition: In business and accounting, cost is the monetary value that has been spent by a company in order to produce something. In a business, cost expresses the amount of money that is spent on the production or creation of a good or service. Cost does not include a mark-up for profit.

Detailed explanation-3: -Costs are broadly classified into four types: fixed cost, variable cost, direct cost, and indirect cost.

Detailed explanation-4: -Cost in a business firm is an expense that the business takes on in an effort to sell a product or service. These costs include things like rent for a retail space, investments in replenishing inventory, and wages paid to employees.