Written by Symestic | Jun 13, 2024 1:42:10 PM
Fixed batch costs are costs that are incurred regardless of the batch size and remain the same for each production batch. Examples include set-up costs and quality inspections.
- Fixed expenses: Costs are incurred constantly per batch.
- Examples: Set-up costs, quality inspections.
- Profitability: Efficient planning and distribution of fixed costs over larger batch sizes.