Which of the Following Would Be Classified as a Fixed

question 129

Multiple Choice

Which of the following would be classified as a fixed cost for the proprietor who owns and operates the local Texaco station?

• A) The federal excise tax paid on each gallon of Texaco gasoline sold.
• B) The state income tax on the profit earned.
• C) The rent paid on the 10 year lease for the property on which the station is located.
• D) The Social Security tax the owner pays the federal government on the owner's income.

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