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cost equation

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  • Cost-plus pricing — is a pricing method used by companies to maximize their profits. The firms accomplish their objective of profit maximization by increasing their production until marginal revenue equals marginal cost, and then charging a price which is determined …   Wikipedia

  • equation — e‧qua‧tion [ɪˈkweɪʒn] noun [countable] a statement in mathematics, showing that two quantities are equal acˈcounting eˌquation one of the relationships between assets and liabilities used in accounting: • The accounting equation here is: assets… …   Financial and business terms

  • Cost-Volume-Profit Analysis — Cost Volume profit (CVP), in managerial economics is a form of cost accounting. It is a simplified model, useful for elementary instruction and for short run decisions. Cost volume profit (CVP) analysis expands the use of information provided by… …   Wikipedia

  • cost function — A formula or equation that represents the way in which particular costs behave when plotted on a graph. For example, the most common cost function represents the total cost as the sum of the fixed costs and the variable costs in the equation y =… …   Accounting dictionary

  • cost function — A formula or equation that represents the way in which particular costs behave when plotted on a graph. For example, the most common cost function represents the total cost as the sum of the fixed costs and the variable costs in the equation y =… …   Big dictionary of business and management

  • equation */*/ — UK [ɪˈkweɪʒ(ə)n] / US noun Word forms equation : singular equation plural equations 1) a) [countable] maths a statement that two sets of numbers, letters, or symbols are equal Solve the equation 5x – 3 = 27. b) chemistry a statement that uses… …   English dictionary

  • equation — e|qua|tion W3 [ıˈkweıʒən] n 1.) a statement in mathematics that shows that two amounts or totals are equal ▪ In the equation 2x + 1 = 7, what is x? 2.) [C usually singular] the set of different facts, ideas, or people that all affect a situation… …   Dictionary of contemporary English

  • equation — e|qua|tion [ ı kweıʒn ] noun ** 1. ) count a statement in mathematics that two sets of numbers or expressions are equal: Solve the equation 5x 3 = 27. a ) a statement in chemistry that uses symbols to show the changes that take place in a… …   Usage of the words and phrases in modern English

  • Equivalent Annual Cost - EAC — The annual cost of owning an asset over its entire life. Equivalent annual cost is often used by firms for capital budgeting decisions. Eqivalent annual cost is calculated as: The equivalent annual cost equation allows a company to compare the… …   Investment dictionary

  • Matrix difference equation — A matrix difference equation[1][2] is a difference equation in which the value of a vector (or sometimes, a matrix) of variables at one point in time is related to its own value at one or more previous points in time, using matrices. Occasionally …   Wikipedia

  • Hamilton-Jacobi-Bellman equation — The Hamilton Jacobi Bellman (HJB) equation is a partial differential equation which is central to optimal control theory.The solution of the HJB equation is the value function , which gives the optimal cost to go for a given dynamical system with …   Wikipedia

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