C (x)= FC V (x), where C is total production cost, FC is total fixed costs, V is variable cost, and x is the number of units, is the cost function equation. This also enables management to assess how ...

A study of daily newspaper cost behavior is used to illustrate a method of estimating cost function parameters using cross-section output and price data only. The cost parameter estimates are obtained ...

This paper analyses the relationship between traffic volume and maintenance costs, and derives estimates for the cost elasticity and the marginal maintenance cost for pricing decisions. Two types of ...