Which of the following is an example of a fixed cost for a bridal gown shop?
A) The services of the seamstress to fit each gown
B) The cost associated with dying the shoes to match the bridesmaids' dresses
C) The cost associated with the layaway of variously priced gowns
D) The cost of the mannequin used to display current gowns
E) The cost associated with a generous return policy

Question

Quizplus · Accepted Answer

A fixed cost is the cost that does not change with the quantity of product purchased or sold. The mannequin was purchased and requires no further expense no matter how many gowns it models.

Which of the Following Is an Example of a Fixed