_________ costs are those costs that remain the same regardless of any change in the company's activity level. The CIO's salary is an example of a _________ cost.
A) Fixed; fixed
B) Fixed; variable
C) Variable; fixed
D) Variable; variable

Question

Quizplus · Accepted Answer

Fixed costs remain constant regardless of changes in activity level, and the CIO's salary is an example of a fixed cost because it does not change with the level of company activity.

_________ Costs Are Those Costs That Remain the Same Regardless