If you have worked or are working at a job, list five fixed costs of the...
If you have worked or are working at a job, list five fixed costs of the firm. List three variable costs the firm has.
Homework Answers
ans....
I am working in a service industry
five fixed costs:
1. rent of the office
2. Employees salaries who generally draw fixed salary and work in
the opeartional department
3. Depreciation of office equipment
4. Salaries or wages of the support staff such as cleaning &
security services
5. Fixed monthly base salary of the sales department excluding
bonus and sales commission.
6. a major part of Power and fuel cost can also be considered fixed
in nature.
variable costs:
1. Bonus and sales commission of the sales team
2. some part of Power and fuel cost can also be considered variable
in nature.
3. Over time wages payment
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