Describe What would be some examples of
fixed costs and variable costs for a farm?

Variable versus Fixed Costs

Cash costNon-cash cost

Variable costFuel, seed, fertilizer, herbicides, equipment repair, hired laborSome tractor depreciation and interest

Fixed costProperty tax, insurance, self-employed laborSome tractor depreciation, implement depreciation and interest, land charge

Explanation:

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Fixed assets are things that do not change with production levels like rent, electricity, and machinery.

Explanation:

Variable costs are used during the manufacturing process. For instance, the variable costs in making a meal are the ingredients The fixed cost would the electricity, the stove, the frying pan.

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