Which of the Following Is Not a Fixed Cost

question 3

Multiple Choice

Which of the following is not a fixed cost?

• A) Direct materials
• B) Depreciation
• C) Lease charge
• D) Property taxes

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Definitions:

Product

Any item or service created through a process and intended for sale or use by consumers, including tangible goods and intangible services.

Transportation Cost

The expenses associated with moving goods from one location to another, including fuel, labor, and maintenance costs.

Carriers

Companies that provide transportation services for goods, including freight companies, airlines, and shipping lines.

Customers

Individuals or entities that purchase goods or services from a company.