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independent variable

(Dictionary)

Author:
Harold Averkamp, CPA, MBA

Definition

A driver of a change in the amount of a dependent variable. The independent variable is usually represented by “x”, the dependent variable by “y”, the rate of change by “b”, and the fixed amount by “a” as in y = a + bx. For example, a salesperson’s weekly compensation consisting of $250 plus 5% of sales will be y = $250 + .05x.

Dictionary

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About the Author

Harold Averkamp

For the past 52 years, Harold Averkamp (CPA, MBA) has
worked as an accounting supervisor, manager, consultant, university instructor, and innovator in teaching accounting online. He is the sole author of all the materials on AccountingCoach.com.

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