Which of the following is an example of a fixed cost?

Name: Which of the following is an example of a fixed cost?
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Fixed costs are those costs that do not vary with the level of production or sales. Factory rental is a fixed cost as it remains the same irrespective of the level of production. Raw materials and packaging costs may change with the level of production, hence they are variable costs. Factory bonuses linked to production are variable costs as they depend on the level of production.

Which of the Following Is an Example of a Fixed