Which of the Following Is NOT a Variable Cost

question 217

Multiple Choice

Which of the following is NOT a variable cost?

• A) Materials used.
• B) Rent.
• C) Delivery costs.
• D) Direct labor.

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Definitions:

Liquidity Ratios

Financial metrics used to assess a firm's ability to meet its short-term obligations, with common examples including the current ratio and quick ratio.

Profitability Ratios

Ratios that compare income with one or more primary activities.

Net Profit Margin

A financial ratio representing the percentage of net income to sales revenue, indicating how much of each dollar earned by the company is translated into profits.