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| Topic: |
Business
|
| Number of pages / Number of words: |
25 / 6796 |
Essay's paper body
It also keeps a focus on the connection between production and marketing.
? Should one make , buy or lease capital investment
? What happens to revenues and costs if the price of one of a company's product is hanged.
ASSUMPTIONS:
? All costs are either perfectly variable or absolutely fixed over the entire period of Production but this assumption does not hold good in practice...
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In other words, even if the business has a zero output or high output, the level of fixed costs will remain broadly the same. In the long term fixed costs can alter - perhaps as a result of investment in production capacity (e.g. adding a new factory unit) or through the growth in overheads required to support a larger, more complex business...
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General points of the essay
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