In most cases, changing the product mix emphasis in the short run will not affect fixed costs, so fixed costs are irrelevant.

Question

Quizplus · Accepted Answer

Fixed costs are, by definition, costs that do not vary with changes in production, such as rent, salaries, and insurance. Therefore, changing the product mix does not affect fixed costs in the short run. However, it may affect variable costs, such as raw materials and labor, which might change depending on the products being produced.

In Most Cases, Changing the Product Mix Emphasis in the Short