However, if they are paid salaries (where they are paid no matter how many hours they work), then this is a fixed cost. The steps you take to lower your variable cost per unit and increase your profit margin will depend on what kind of business you run. So, you’re taking variable cost per unit into account, you’re making $10 per mug. Examples of fixed costs are rent, employee salaries, insurance, and office supplies.Lowering your variable costs is one of the most common, effective ways to increase your profit margin and make more money per sale.A thorough understanding of variable costs brings clarity to wealth management strategies.If, for instance, you're buying production materials in greater volume you may be able to buy them at lower price points.Industries with high fixed…