Does incremental cost mean the same thing as variable cost?

No, incremental cost and variable cost are not the same, although they can be related. Incremental cost refers to the additional cost incurred when producing one more unit of a product or service, which may include both variable costs and any additional fixed costs that arise from the increased production level. Variable costs, on the other hand, are costs that change directly with the level of production, such as materials and labor. While incremental costs often include variable costs, they can also encompass other costs that vary with production decisions.