Question 1
Which of the following is a fixed cost for an automobile manufacturing plant?
◦ administrative salaries
◦ electricity used by assembly-line machines
◦ sales commissions
◦ tires
Question 2
Which of the following is a fixed cost with respect to units produced in a factory?
◦ monthly rent payment for the building
◦ electricity expenses
◦ utilities cost of the building
◦ direct material costs