Millerstown, on the Nolin River, was the first community to be formally incorporated in 1826; Falls of Rough grew up around the Green Sawmill, which first operated in 1823; and Grayson Springs, a popular summer resort, opened in 1830 and peaked in prosperity about 1900.
Example 1. Assume a business produces clothing. A variable cost of this product would be the direct material, i.e., cloth, and the direct labor. If it takes one laborer 6 yards of cloth and 8 hours to make a shirt, then the cost of labor and cloth increases if two shirts are produced.
The following are examples of fixed costs and variable costs: 1  Indirect labor- fixed costs could be variable under certain circumstances. 2  Indirect materials- variable costs. 3  Insurance on building- fixed costs.  Depreciation on building (straight-line)- fixed 1  costs. Overtime premium pay- variable costs.  Property taxes- fixed costs.