Personnel Fringe Benefits Are an Example of A(n) ____ Cost

question 192

Multiple Choice

Personnel fringe benefits are an example of a(n) ____ cost.

• A) direct cost
• B) indirect cost
• C) intangible cost
• D) nonrecurring cost

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Definitions:

"The Answer"

Often used metaphorically to denote a solution or response that resolves a question or problem comprehensively.

Consideration

Something of value that is exchanged between parties in a contract, making it legally binding.

Illusory Promise

A situation in which a party appears to commit to something but really has not committed to anything. It is not a promise and thus not consideration.

Valid Consideration

Valid consideration in a contract represents something of value that is given by all parties involved, serving as the reason or inducement to enter into the contract.