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A SaaS provider maintains a large web server, or series of servers, and provides fee-paying subscribers with space to maintain their websites.
Carrying Cost
The total cost of holding inventory, including storage, insurance, taxes, opportunity costs, and depreciation.
Fixed Costs
Costs that do not change when the quantity of output changes during a particular time period.
Break-Even Default Rate
The rate of default at which a lender breaks even on a loan, neither earning a profit nor incurring a loss.
Monthly Interest Rate
The interest rate expressed as a monthly percentage, reflecting the cost of borrowing or the earnings on savings for one month.
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