Q3RQ
Question
What is a mixed cost? Give an example.
Step-by-Step Solution
Verified Answer
Mixed cost is also known as semi-variable it includes both cost like variable and fixed cost.
1Meaning of Fixed cost
Mixed costs are the costs that include both variable and fixed components in it. These costs are also known as Semi-variable costs.
2Examples of Mixed cost
Water bill upto 10,000 liters per month costs $750 and $0.50/litre beyond 10,000
litres.