Which of the following is probably considered a ﬁxed cost, at least in the short run?
A) The cost of raw materials.
B) The cost of direct labour expenses.
C) The company president's salary.
D) The cost of utilities.
E) The commissions paid to the sales force.

Question

Quizplus · Accepted Answer

The company president's salary is most likely considered a fixed cost in the short run as it is a predetermined amount that does not vary with the level of production or sales.

Which of the Following Is Probably Considered a ﬁXed Cost