Which two terms below best describe the wages paid to security guards that monitor a factory 24 hours a day?
A)variable cost and direct cost.
B)ﬁxed cost and direct cost.
C)variable cost and indirect cost.
D)ﬁxed cost and indirect cost.
E)value-added cost and direct cost.

Question

Quizplus · Accepted Answer

The wages for security guards are considered a fixed cost because they do not vary with production levels, and an indirect cost because they are not directly tied to the production of goods.

Which Two Terms Below Best Describe the Wages Paid to Security