[Answer] Why should variable expenses appear below fixed expenses in a budget?

Answer: They should be considered after fixed expenses.

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Why should variable expenses appear below fixed expenses in a budget? Combination fixed and variable expenses . You might find that some expenses are both fixed and variable . The pay of a salesperson might include a fixed portion (the base salary) plus a variable portion (the commissions on sales). Variable Expenses Are Discretionary. Another way to look at variable expenses is that they are discretionary expenses ... Fixed expenses are required and constant but variable expenses are not required and are more flexible . Start studying P & E Budgeting. Learn vocabulary terms and more with flashcards games and other study tools. Search. ... Why should variable expenses appear below fixed expenses in a budget ? ... Look at this monthly budget . Variable expense has a different impact on managerial decisions. This expense is fixed with respect to the cost per unit but the total expense will increase with the volume of production . Basically variable expense relates to the material costs that are used in production and the direct labor charges to make the products . Tue Apr 03 2018 · How to Manage Fixed and Variable Expenses . You can create a budget that accounts for fixed and variable expenses . Doing so will help you bring peace to your financial plan. Managing fixed expenses is easy. They’re the same every month. You know what you have to pay for your house payment your car payment etc. Fixed and Variable Expenses in Business Budgets More items... Fixed and Variable Expenses in Business Budgets Some examples of fixed expenses you may have can include: More items.....

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