Which of the Following Is a Fixed Cost for Wendy's

question 118

Multiple Choice

Which of the following is a fixed cost for Wendy's Hamburgers?

• A)the cost of beef
• B)electricity to light up the Wendy's sign
• C)gasoline for the trucks that deliver supplies to the various franchises
• D)interest on funds borrowed to build new facilities
• E)expenditures on paper and plastic for packaging

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Definitions:

Supply Increase

A situation where the quantity of a good or service that producers are willing to offer for sale rises.

Flour Price

The market cost of flour, determined by factors like supply, demand, and production costs.

Production Cost

The total expense incurred in manufacturing a product or providing a service, including materials, labor, and overhead.

Technological Advance

The development and application of new technologies and processes that improve efficiency, productivity, or performance.