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3.4: Mixed Costs

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Mixed costs are costs that contain a portion of both fixed and variable costs. Common examples include utilities and even your cell phone! You may be charged a fixed amount each month for data usage or text messages allowed but when you exceed your limit, you are charged a set amount (variable cost) based on each text message or gigabyte of data you use over your limit.

https://youtu.be/mRi01CYooDA

A mixed cost would look like this in a graph:

mixed costs

Next, we will look at how we can estimate the fixed and variable portions of a mixed cost for accounting analysis.

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  • What are Mixed Costs? (Managerial Accounting Tutorial #5). Authored by: Note Pirate. Located at: https://youtu.be/mRi01CYooDA. License: All Rights Reserved. License Terms: Standard YouTube License

This page titled 3.4: Mixed Costs is shared under a not declared license and was authored, remixed, and/or curated by Lumen Learning via source content that was edited to the style and standards of the LibreTexts platform.

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