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Insurances (malpractice, business etc.)
Variable: Hourly (Per Diem) labor is variable, Salaried (Wages) are fixed , Direct Materials (variable with production), Other expenses that seem to vary with production. Utility costs are actually mixed but are variable for this assignment,
Fixed: Expenses that don’t vary with production like Salaried Wages, Insurance,
Licensing
Direct Costs: Costs that are related to specifically to the production of the product or service (supplies, labor, etc . . . )
Indirect Costs: Costs not specifically related to producing the product or service (Licensing, etc . . .)
Cost Fixed Variable Direct Indirect
Materials/Supplies x x
Wages
Utility/Building
Medications
Licensing of Facility
Insurances
PerDiem Staff
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