Companies focus on their fixed costs to maximize profits at the end of the fiscal year. If a company's fixed costs are too high, the company might not create a profit for that fiscal period.

Discover the difference between fixed and sunk costs. Learn why all sunk costs are fixed but not all fixed costs are sunk, ...

Brian Beers is a digital editor, writer, Emmy-nominated producer, and content expert with 15+ years of experience writing about corporate finance & accounting, fundamental analysis, and investing.

A business must spend money or it cannot operate. A business separates the costs it incurs into two main categories: fixed costs and variable costs. A business may then break its fixed costs down into ...

Opinions expressed by Entrepreneur contributors are their own. A fixed cost is one that your business incurs whether or not it makes any sales. An example is rent: It has to be paid every month ...

Cost structures (the ratio of fixed to variable costs) vary across and within industries. Hospital managers and policymakers can make better decisions when they under-stand cost structures, including ...