Fixed costs are important because, at least in the ___________, the firm _______________.
A) long run; cannot alter them
B) short run; cannot alter them
C) long run; can alter them
D) short run; can alter them

Question

Quizplus · Accepted Answer

In the short run, fixed costs are important because the firm cannot alter them. Fixed costs, such as rent, salaries, and equipment costs, remain constant regardless of the level of production or sales volume.

Fixed Costs Are Important Because, at Least in the ___________