Business A-Level
fixed cost per unit
What fixed cost per unit means in Business A-Level, as defined for AQA.
Definition of fixed cost per unit
Check what you remember
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Reference: AQA
Fixed costs do not change with output, so running near the ceiling spreads them across more units and this falls.
Topics that use fixed cost per unit
- Making operational decisions to improve performance: increasing efficiency and productivity (AQA A-Level)
Related terms
- average rate of return
- break-even output
- buffer stock
- capacity utilisation
- capital intensive
- gearing
- labour intensive
- payback period
Using fixed cost per unit in the exam
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