Costs that do not vary with changes in the number of units produced and sold are called ____ costs.
A) fixed
B) total
C) invariable
D) variable
E) set

Question

Quizplus · Accepted Answer

Fixed costs are those that don't change with the level of production or sales, such as rent, salaries, and insurance premiums. Total costs are the sum of fixed and variable costs, invariable costs and set costs are not commonly used terminology in cost accounting, and variable costs change based on the level of production or sales.

Costs That Do Not Vary with Changes in the Number