Which One of the Following Costs Is Most Apt to Be

question 15

Multiple Choice

Which one of the following costs is most apt to be a fixed cost?

• A)production labor cost
• B)depreciation
• C)raw materials
• D)utilities
• E)sales commissions

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Definitions:

Great Lakes

A group of five large, interconnected freshwater lakes located in North America, vital for transportation, water supply, and habitats.

Water

A clear, smell-free, flavorless fluid that constitutes the oceans, lakes, streams, and precipitation, and is foundational to the bodily fluids of living beings.

Price/Earnings Ratio

A valuation metric measuring a company's current share price relative to its per-share earnings, used to evaluate if a stock is over or under-valued.