The best estimate of the company's total fixed operating expense per year is?
A) $72,000.
B) $188,000.
C) $200,000.
D) $212,000.

Question

Quizplus · Accepted Answer

The best estimate of the company's total fixed operating expense per year is the sum of its total operating expenses excluding cost of goods sold and variable expenses, which equals $200,000. This includes salaries, rent, depreciation, insurance, and other fixed costs associated with running the business.

The Best Estimate of the Company's Total Fixed Operating Expense