Explain the difference between fixed and variable costs and how most fixed costs eventually become variable costs

Financial statement analysis is an important assessment tool for businesses; however, what value does ratio analysis provide for budgeting in the public sector, and why is it beneficial for a criminal justice manager to understand how and why these ratios are applied to government financial operations and budgeting?


Discussion 2


250 word minimum


Explain the difference between fixed and variable costs and how most fixed costs eventually become variable costs.


Chen, G. G., Weikart, L. A., & Williams, D. W. (2014). Budget Tools: Financial Methods in the Public Sector (2nd ed.). SAGE Publications, Inc. (US). https://ccis.vitalsource.com/books/9781483324050