In addition, medical devices include in vitro diagnostic products, such as general purpose lab equipment, reagents, and test kits, which may include monoclonal antibody technology. Certain electronic radiation emitting products with medical application and claims meet the definition of medical device.
Sales commission is a variable cost because the amount of the account is subject to variation. Think about it: A used car salesman is paid a commission say of $500 for every car he sells for the month of October. If he sells only 2 cars, then the sales commission is $1000, If he sells a whopping 12 cars, then the sales commission is $6000!!
What are Controllable Fixed Costs? Controllable fixed costs are those which the manager of a profit center can control and is therefore responsible for, for example advertising and marketing costs. Controllable fixed costs are used when producing a Contribution Margin Income Statement to monitor and measure the contribution made by a profit center. Learn a new bookkeeping term.