Cost Structure is defined by Investopedia as follows:
The concept of cost structure in business assists you in deciding where to devote dollars in your organisation. It highlights the most important aspects and may assist in determining the business model. You can also determine where you can save money. This sort of study is crucial to the success of your business. A well-developed cost structure will provide you a competitive advantage. It will assist you in identifying and managing risks. Here are some samples of the most essential cost structure aspects. Buttonwood Financial included that costs are both fixed and variable. Fixed costs are expenses that remain constant regardless of the quantity of products or services supplied. Variable costs fluctuate based on the quantity of products or services sold. An activity-based costing outline may be used to allocate certain sorts of expenses to a cost structure. This document will offer a clear image of how much you spend on each part of your organisation, regardless of the sort of cost
