Question

In: Accounting

Which of the following is not a fixed cost? Depreciation on factory equipment Property taxes on...

Which of the following is not a fixed cost?

Depreciation on factory equipment

Property taxes on factory building

Property insurance on factory building

Payroll taxes on factory employees

Solutions

Expert Solution

Option D

Payroll taxes on factory employees is not a fixed cost because it changes if the employees work on the hour basis. Fixed costs don't change within relevant range


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