A Fixed Cost Is One That

question 2

Multiple Choice

A fixed cost is one that:

• A)Is the same per unit of production regardless of volume
• B)Remain constant in total within the relevant production range
• C)Increases on a per unit basis as volume increases
• D)Does not rise as inflation changes

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Definitions:

Political Risk

The risk associated with political changes or instability in a country that can affect the operations and profitability of businesses.

Operations Manager

A professional responsible for overseeing, designing, and controlling the process of production and redesigning business operations in the production of goods or services.

Location Clustering

A method used in data analysis and geographic information systems (GIS) to identify areas where entities are concentrated.

Fast Food Restaurants

Eating establishments that offer quick service and a limited menu of ready-to-eat foods at a relatively low cost.