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1. ECO 561 Week 3 Team Managing Fixed and
Variable Cost (2 PPT) NEW
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ECO 561 Week 3 Team Managing Fixed
and Variable Cost (2 PPT) NEW

2. Purpose of Assignment
In this week, students are learning about
managing different types of economic costs.
Organizations typically have either high fixed
costs or low fixed costs, and it is important to
understand how business decisions differ in
organizations with high fixed costs from
organizations with low fixed costs.
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Assignment StepsResources: Tutorial help on Excel® and Word
functions can be found on the Microsoft® Office
website. There are also additional tutorials via the
web offering support for Office products. Hoover's
Company Profiles by ProQuest located in the
University Library
Choose two publicly-held organizations. One
organization must have high fixed costs and low

3. variable costs, and the other organization must
have low fixed costs and high variable costs.
Note: A publicly-held organization is a private-
sector firm that is owned by stock holders.
Companies with high fixed costs include
manufacturing companies, such as automobile
manufactures, whereas service companies, such
as accounting firms, might have low fixed costs.
ireate and Present to the class a minimum 15_____ _ — — — - — — — — —------' -------- — — —■ 1
minute 8-slide Microsoft®
PowerPoint®presentation, including detailed
speaker notes , analyzing the methods of managing
cost depending on the cost construction. Research
the University Library for recent publications
regarding each company and the industry data.
The analysis should include the following:
# #
• Analyze your two chosen companies' cost
construction. Do the companies have high
fixed

4. costs or low fixed costs? Do the companies have
high variable costs or low variable costs? What
evidence presents itself to support your
findings?
• In Excel®, chart the relationship between total
cost and the number of units produced (output)
for each organization/company. Plot two lines on
the graph - one line for each company you
analyzed. Copy your graph from Excel® and paste
it into your PowerPoint® presentation.
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• Analyze currently used methods to minimize
costs for the companies and provide
recommendations how to improve the process of
minimizing costs based on the available
information for the industries in which the
companies operate. Note: Companies are
categorized by the industries they operate in. For
example, Wal-Mart is a company operating within
the retail trade industry. Hoover's Company
Profiles by ProQuest located in the University
Library may be helpful.

5. Cite a minimum of three peer-reviewed sources.
Format the assignment consistent with APA
guidelines.
Click the Assignment Files tab to submit your
PowerPoint® presentation and your Excel®
file.
■ ■ / / ^ ^ A * ■
Note: Grades are awarded based upon
individual contributions to the Learning Team
assignment. Each Learning Team member
receives a grade based upon his/her
contributions to the team assignment. Students
might receive different grades for the team
assignment depending on their contributions to
the team assignment.

6. Cite a minimum of three peer-reviewed sources.
Format the assignment consistent with APA
guidelines.
Click the Assignment Files tab to submit your
PowerPoint® presentation and your Excel®
file.
■ ■ / / ^ ^ A * ■
Note: Grades are awarded based upon
individual contributions to the Learning Team
assignment. Each Learning Team member
receives a grade based upon his/her
contributions to the team assignment. Students
might receive different grades for the team
assignment depending on their contributions to
the team assignment.