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.
Jockey Training. Most jockeys begin their careers as early as age 14 or 15 working as a groom or exercise rider for horse trainers. You start at the bottom of the totem pole and are typically expected to show up for work by 6 a.m. or earlier, but the experience is invaluable in learning the ins and outs of the horse-racing business.