Which of the following would be a part of the fixed costs of a firm?

Question

Quizplus · Accepted Answer

Fixed costs are costs that do not vary with the level of output or sales. Executive salaries are a fixed cost as they remain constant regardless of production levels. Product packaging materials and material costs are variable costs as they are directly proportional to the level of production. Labor required to produce a unit of the product is a direct cost, which may be either fixed or variable depending on the employment contracts, but it is not a fixed cost for sure.

Which of the Following Would Be a Part of the Fixed