Fixed and variable costs for oil company
WebQuestion: Sathre Corporation is an oil well service company that measures its output by the number of wells serviced. The company has provided the following fixed and variable cost estimates that it uses for budgeting purposes. Fixed Element per Month Variable Element per Well Serviced $4,500 $ 900 $ 700 $56,400 Revenue Employee salaries and wages … WebFixed costs are also frequently subdivided into costs associated with maintaining the refinery (maintenance costs), costs of running the refinery (operating costs), and costs of managing the refinery (supervisory, overhead, support) Variable costs are any costs that vary with the level of refinery throughput.
Fixed and variable costs for oil company
Did you know?
WebMar 14, 2024 · Example of Variable Costs. Let us consider a bakery that produces cakes. It costs $5 in raw materials and $20 in direct labor to bake one cake. In addition, there are fixed costs of $500 (the equipment used). To illustrate the concept, see the table below: Note how the costs change as more cakes are produced. WebTotal mixed (operating) cost-Total variable cost = Total fixed costs $37,800-$19,000 = $18,800 Complete Rapid Lube 's operating cost equation. (Enter the variable cost to the …
WebJan 25, 2024 · A geothermal power plant commissioned in 2024 and with the earliest possible year of operation being 2025 could expect to have fixed costs around 143 U.S. dollars per kilowatt installed per year. WebMar 14, 2024 · Total January fixed costs: $1,700 B. January variable expenses: Cost of flour, butter, sugar, and milk: $1,800 Total cost of labor: $500 Total January variable costs: $2,300 If Amy did not know which …
WebOil used in manufacturing equipment Variable Plastic Variable Property taxes, $165,000 per year on factory building and equipment Fixed Salary of plant manager Fixed Cost of labor for hourly workers Variable Packaging Variable Factory cleaning costs, $6,000 per month Fixed Metal Variable WebMar 22, 2024 · Break-Even Units = Total Fixed Costs / (Price per Unit - Variable Cost per Unit) To calculate the break-even analysis, we divide the total fixed costs by the contribution margin for each unit sold ...
WebThe company has provided the following fixed and variable cost estimates that it uses for budgeting purposes. Fixed Element per Month Variable Element per Well Serviced …
WebVariable cost per unit Month Number of Oil Changes Operating Expenses 3,800 36,800 January February 3,200 32,800 March 3,400 33,800 April 3,300 33,300 May 4,200 $ 37,800 June 3,500 34,300 Print Done Previous question Next question ipf and anxietyWebDo Oil Companies Have Fixed & Variable Costs of Production? Fixed Costs. Fixed costs for a business are costs that do not change based on the level of production. For example, if a... Variable Costs. A variable cost … ipf and back painWebOil changes every 5,000 miles e. Replacement tires f. Insurance costs of $100 per month g. ... If the fixed cost per ball is $3 when the company produces 15,000 balls, ... The concept of relevant range is applicable to both fixed and variable costs. B. ipf and agent orange exposureWebQuestion: Pickrel Corporation is an oil well service company that measures its output by the number of wells serviced. The company has provided the following fixed and variable cost estimates that it uses for budgeting purposes. Revenue Employee salaries and wages Servicing materials Other expenses Fixed Variable Element Element per per Month … ipf and chillsipf and cold weatherWebThe company has provided the following fixed and variable cost estimates that it uses for budgeting purposes. Fixed cost per month Variable cost per well Revenue $4,700 Salaries and Wages $41,300 $1,000 Service Materials $600 Other Expenses $40,200 ipf and chronic coughWebPurely fixed costs = $900,000/yr Purely variable costs = $2.50/CMD Semivariable (mixed) costs = $100,000/yr + .50/CMD Compute the company's estimated total cost per CMD if the following miles are logged by drivers during the year: The estimated total cost per CMD at 400,000 miles logged is: $5.50 900,000/400,000 = 2.25 100,000/400,000 = .25 ipf and collagen