Questions
Define fixed cost. Give an example.
Define fixed cost
Solution 1
Fixed costs are the sum of total expenditure incurred by the producer on the purchase or hiring of fixed factors of production such as cost of plant and machinery.
Solution 2
Fixed cost is the cost which is incurred on buying fixed factors of production. It does not vary
with the level of output.
Is there an error in this question or solution?
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Solution Define Fixed Cost. Give an Example. Concept: Cost - Fixed Cost.
