A company's costs take two forms.________ are costs that do not vary with production or sales revenue.
A) Fixed costs
B) Variable costs
C) Adjusted costs
D) Attributed costs
E) Unknown costs

Question

Quizplus · Accepted Answer

Fixed costs are costs that do not vary with production or sales revenue. These costs remain constant regardless of how much the company produces or sells. Examples of fixed costs include rent, salaries, insurance premiums, and property taxes.

A Company's Costs Take Two Forms