From the choices below, pick the best definition of the term fixed costs.
A) costs that are needed to acquire a fixed market share
B) costs that are needed to acquire fixed profits
C) costs that are unaffected by the number of goods sold by the firm
D) costs that remain the same from year to year
E) costs that remain the same across all products

Question

Quizplus · Accepted Answer

C) Fixed costs are costs that must be paid to produce the product at all, regardless of the number of goods sold by the firm.

From the Choices Below, Pick the Best Definition of the Term