terrance97 terrance97
  • 29-06-2016
  • Health
contestada

Which of the following is an example of a fixed expense?

A. Clothing
B. Rent
C. Entertainment
D. Food

Respuesta :

Jennnyyy
Jennnyyy Jennnyyy
  • 29-06-2016
The fixed expense here would be B.) Rent. 

The price does not change while the cost for food, Entertainment, and Clothing can inflate or deflate at any given time. 

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LearnGrow
LearnGrow LearnGrow
  • 22-01-2019

Rent is an example of fixed cost because it remains the same  and does not change over the short-term, regardless of an increase or decrease in the number of goods or services sold or produced.  All other options are example of variable costs, because they are not constant and change over time.

Correct answer: B


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