The fixed component in this example is $3,000 per month. The variable cost component is $10 per unit of output. Hence, at a production level of 500 units, the total electric cost is $8,000 [$3,000 + ($10 x 500)].
Plastics are derived from organic products. The materials used in the production of plastics are natural products such as cellulose, coal, natural gas, salt and, of course, crude oil. Crude oil is a complex mixture of thousands of compounds. To become useful, it must be processed.he materials used in the production of plastics are natural products such as cellulose, coal, natural gas, salt and, of course, crude oil. Crude oil is a complex mixture of thousands of compounds.
The chemicals that make up plastic include BPA and DEHA. According to the Institute for Agriculture and Trade Policy, grocery bags are made from high density polyethylene or low density polyethylene and are usually coded for recycling as a 2 or 4. When food is stored in plastic bags these chemicals can leach into the food and then be ingested. This also includes plastic wrap, which is made up of similar components, says the Institute for Agriculture and Trade Policy.