Fixed Costs That Cannot Be Easily Changed and Typically Involve

question 206

Short Answer

Fixed costs that cannot be easily changed and typically involve a long-term contract are known as ___________________.

---

Definitions:

Salvaging Fixed Assets

The process of recovering value from fixed assets that are no longer usable in their intended capacity, often through sale or recycling.

Discount Rate

Within discounted cash flow analysis, it is the interest rate used to determine the present value of cash flows anticipated in the future.

Initial Investment

Initial Investment is the amount of money used to start a project, purchase an asset, or invest in a financial product, prior to generating any returns.

Cash Inflows

This term describes the movement of money into a business or entity, typically from operations, investments, or financing activities.