Answer to Question #252739 in Microeconomics for Sanu

Question

Assume that you are an entrepreneur of a hotel. What are the fixed and variable costs to be carried out in that business

Answer 1

The fixed costs;

· Rent.

· Wages.

· License fees.

· Insurance premiums.

The variable costs;

· Food.

· Water and electricity utilities.

· Equipment repairs.

· Delivery and transport expenses.