Which Type of Fixed Cost (1) Tends to Be More

question 68

Multiple Choice

Which type of fixed cost (1) tends to be more long-term in nature and (2) can be cut back more easily in bad economic times without doing serious harm to organizational goals and objectives? $\begin{array} { | l | c | c | } \hline & \text { Long Term in } & \text { Can be Cut Back More Easily In } \\&\text { Nature }&\text { Bad Ficonomic Times }\\\hline 1 & \text { Committed } & \text { Committed } \\\hline 2 & \text { Committed } & \text { Discretionary } \\\hline 3 & \text { Discretionary } & \text { Committed } \\\hline 4 & \text { Discretionary } & \text { Discretionary } \\\hline 5 & \text { Committed } & \text { No difference between committed and discretionary cost } \\\hline\end{array}$

• A)1
• B)2
• C)3
• D)4
• E)5

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Definitions:

Employee Efficiency

The effectiveness with which employees perform their tasks, often measured in terms of output in relation to input.

High Employee Motivation

Describes a state where employees are highly engaged, enthusiastic, and committed to their work, often leading to increased productivity and job satisfaction.

Commitment

The level of dedication an individual or group has towards a task, project, or organization, often associated with high performance and productivity.

Advocacy

The act of speaking or acting on behalf of a cause, policy, or individual to influence public opinion or decision-making.