JAMB - Economics (2014 - No. 13)
Rent and administrative expenses are examples of
average fixed costs
average variable costs
fixed costs
variable costs
Forklaring
Examples of general and administrative expenses are:
- Accounting staff wages and benefits.
- Building rent.
- Consulting expenses.
- Corporate management wages and benefits (such as for the chief executive officer and support staff)
- Depreciation on office equipment.
- Insurance.
- Legal staff wages and benefits.
- Office supplies.
Fixed costs are those costs that must be incurred in fixed quantity regardless of the level of output produced.