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Cost-Per-Click (Or Pay-Per Click)is an Advertising Revenue Model Where the Advertiser

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Cost-per-click (or pay-per click)is an advertising revenue model where the advertiser is charged by the number of people who click on,or tap,the ad to pull it up for more information or to see the ad in entirety.


Definitions:

Variable Costs

Costs that vary directly with the level of production or volume of output, such as materials and labor directly involved in manufacturing.

Step-Variable Costs

Costs that remain fixed for certain levels of production or capacity but can change in steps when a critical level is surpassed.

Fixed Costs

Expenses that remain constant for a given period of time regardless of the level of outputs or activity.

Step-Fixed Costs

Costs that remain constant for a certain level of activity but jump to a higher level when activity increases beyond that threshold.

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