Which is most clearly a fixed cost?

A) Insurance premiums
B) Wages of production workers
C) Advertising
D) Shipping costs
E) Cost of raw materials

Fixed Cost

A fixed cost is a business expense that remains constant regardless of the volume of goods or services produced by an entity.

Insurance Premiums

Payments made to an insurance company in exchange for coverage, protecting against financial losses from specified risks.

Production Workers

Employees involved in the direct manufacturing of goods, including assembly line workers, machine operators, and craftsmen.