Business cost analysis is an essential tool for evaluating the financial viability of a company. It involves analyzing fixed costs, such as rent and payroll expenses, against variable costs like inventory and utilities. By analyzing a company’s overall costs in this way, it provides a clear picture of where profits are being made and what could be done to increase them. Cost analysis can help key decision makers to make informed decisions about investments, operations, and strategies. It can also provide insight into areas where the company could potentially save money by optimizing certain business processes. Ultimately, cost analysis helps businesses stay competitive, profitable, and successful in the long run.