Business A-Level
shift towards fixed costs
What shift towards fixed costs means in Business A-Level, as defined for AQA.
Definition of shift towards fixed costs
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Reference: AQA
Investment in technology typically shifts costs from variable, such as wages, to fixed, such as depreciation.
Topics that use shift towards fixed costs
- 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 shift towards fixed costs in the exam
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