Sally Is a Busy Real Estate Agent Looking to Purchase

question 14

Essay

Sally is a busy real estate agent looking to purchase a new desktop computer so she can keep track of her client's accounts and touch-up photos of real estate properties.How do you guide Sally as she tries to determine the specific software to use on her computer?

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Definitions:

Variable Cost

Costs that vary directly with the level of production or sales volume, such as raw materials and labor.

Fixed Cost

Expenses that do not change in proportion to the level of production or business activity.

Mixed Cost

A cost that contains both variable and fixed cost elements, changing in total with activity level but not proportionately.

Manufacturing Cost

The total cost incurred by a company to produce goods, including direct materials, direct labor, and manufacturing overhead expenses.