The song was conceived when Guetta played the instrumental version during one of his DJ sets in summer 2008; American recording artist Kelly Rowland, who fell in love with the track, convinced Guetta to allow her to take it so that she could write and record vocals for it.
Divide the total fixed costs by the quantity of units produced in order to get the average fixed cost. For example, if your fixed cost amount totals $10,000 and you produce 1000 units, then your AFC will be $10.
A fixed cost is a cost which is incurred for an accounting period, and which, within certain activity levels remains constant. Fixed costs can be shown graphically as follows: The total cost remains constant over a given level of activity but that the cost per unit falls as the level of activity increases. Examples of fixed costs include rent, business rates and executive salaries. Numerical illustration of a fixed cost graph.