Answer to Question #178880 in Financial Math for David

Question

Which of the following best described fixed expenses?

Select all that apply.

Regularly occurring.

Unlikely to change over the year.

Amount may change.

May change in frequency.

Answer 1

Unlikely to change over the year.

This is because the expenses are expected to remain the same over a period of time and will not change in the near future. They do not depend on production and activity level of a firm.