MANAGEMENT

Detailed explanation-1: -Fixed expenses generally cost the same amount each month (such as rent, mortgage payments, or car payments), while variable expenses change from month to month (dining out, medical expenses, groceries, or anything you buy from a store).

Detailed explanation-2: -Fixed expenses don’t change from month to month, which makes it easier to know whether you have money to cover them. Variable expenses, on the other hand, can fluctuate.

Detailed explanation-3: -Variable Expenses Just as the name says, these are your expenses that will vary month-to-month and are probably the largest spending category. Variable expenses include such things as groceries, gas for your vehicle, utilities, entertainment expenses, and clothing.

Detailed explanation-4: -Fixed costs are costs that do not change when sales or production volumes increase or decrease. This is because they are not directly associated with manufacturing a product or delivering a service. As a result, fixed costs are considered to be indirect costs.