An example of a committed fixed cost is
A)advertising.
B)lease on warehouse space.
C)sales commissions.
D)number of bolts used.

Name: An example of a committed fixed cost is A)advertising. B)lease on warehouse space. C)sales commissions. D)number of bolts used.
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Question

Quizplus · Accepted Answer

A lease on warehouse space is an example of a committed fixed cost because it is a long-term rental agreement for a specific amount of space. This cost does not vary based on the level of production or sales, making it a fixed cost.

An Example of a Committed Fixed Cost Is