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fixed cost
Example Sentences
“As we’ve promised, substantial profitability flow through is powered by a strong contribution margin and fixed cost discipline as our business has returned to growth,” Chief Executive Niraj Shah said.
The retail network for perfume and makeup is fragmented, so companies need scale to offset the high fixed costs of manufacturing and distribution, said Luca Solca, luxury analyst at Bernstein.
They also have high fixed costs, and because they serve a high percentage of Medicaid patients, they rely on payments from Medicaid, which tends to pay lower rates than commercial insurance.
This, in turn, has meant increasing the prices for people without renewables, so it could afford "the fixed costs of maintaining and upgrading the electricity network", the company said.
The utilities have long complained that electric bills have been rising because owners of the rooftop solar panels are not paying their fair share of the fixed costs required to maintain the electric grid.
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