Health care costs are expected to rise more than 10 percent into 2011, according to a survey of insurers by Aon Consulting Worldwide. Which of the following would be a fixed cost in a hospital?
A) An MRI machine
B) Bandages
C) Nurses
D) Syringes

Question

Quizplus · Accepted Answer

An MRI machine would be a fixed cost in a hospital because it is a one-time purchase and its cost cannot be easily altered or adjusted on a regular basis. Bandages, nurses, and syringes would be considered variable costs because they are consumable or require regular payment for staffing.

Health Care Costs Are Expected to Rise More Than 10