You must understand fixed overhead expenses in order to understand absorption costing and variable costing. Fixed overhead consists of expenses that do not change with your level of production. Examples of fixed overhead include rent, insurance, wages for permanent full-time employees, and lease payments on equipment.
Whereas it may be safe to start a horse as early as two years of age, you must reasonably moderate the demands you are about to place on the developing horse. One hour of riding work may be just fine for a fully developed horse, but it is most often unacceptable for a two-year old.
1 If your horse hasn't grown up around people, he may be scared of people. 2  If you have a foal or horse too young to be trained, go ahead and start getting the horse used to people and gaining his trust. 3  You should spend a significant amount of time gaining the horse's trust before starting to train him.