Fixed cost is a cost —

CS Executive · Cost and Management Accounting · PYQS · June 2015
Fixed cost is a cost —
(A) Which remains fixed for each unit of output
(B) Which remains fixed in total during a given period despite changes in output
(C) Which is partly fixed and partly variable in relation to the output
(D) Which changes in total in proportion to the changes in output.

Answer & Explanation:

Correct Answer: Option (B)

Official answer key: (B).

Topics: Cost Concepts

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