Vidyalelo
Commerce · Q134

Costing

Graduate and Post Graduate · Commerce · question 134

Q134

An example of fixed cost ________.

A.
property tax
B.
rent for building
Answer
C.
direct material cost
D.
direct wages

Answer: Option B

Solution

Answer: Option B
Solution:
An example of fixed cost rent for building. A fixed cost is a cost that does not change with an increase or decrease in the amount of goods or services produced or sold.