Fixed Cost is the cost which remains constant at all levels of production during short period. It is the basic expenditure requirement of a business which is needed even at zero level of production. example: minimum telephone expenses
Fixed are the cost that are not affected the by the fluctuations in the level of activity. As an example the rent cost of a apperal manufacturing company would be a typical example of a fixed cost in...
the cost which is not change with production fixed cost example rent of factory , employee salaries in case of manufacturing unit , fixed electricity charge etc.
First: Fixed costs remain fixed in this sence that it does not concern whether you r doing production or not or how much you are doing production. For example factory building rent... you are paying...
Fixed costs are costs that DO NOT change in response to changes to activity levels. Variable costs are costs that change in proportion to changes in volume or activity.It's simple, you just have to...