Define: Variable Cost Ratio

UK Accounting Glossary

Definition: Variable Cost Ratio

Quick Summary of Variable Cost Ratio

The variable cost ratio reveals the total amount of variable expenses incurred by a business, stated as a proportion of its net sales.

What is the dictionary definition of Variable Cost Ratio?

Dictionary Definition

This is the ratio of variable cost to sales revenue, and is expressed as a percentage.

Full Definition of Variable Cost Ratio

Variable Cost Ratio FAQ's

What is the Formula for Variable Cost Ratio?

Variable Cost Ratio = Variable Costs​ / Net Sales

Cite Term

To help you cite our definitions in your bibliography, here is the proper citation layout for the three major formatting styles, with all of the relevant information filled in.

Page URL
Modern Language Association (MLA):
Variable Cost Ratio. Payroll & Accounting Heaven Ltd. July 22, 2019
Chicago Manual of Style (CMS):
Variable Cost Ratio. Payroll & Accounting Heaven Ltd. (accessed: July 22, 2019).
American Psychological Association (APA):
Variable Cost Ratio. Retrieved July 22, 2019, from website:

Definition Sources

Definitions for Variable Cost Ratio are sourced/syndicated from:

  • Oxford Dictionary Of Economics
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 29th January 2019.