Asked by Waseem Nazir on May 29, 2024

verifed

Verified

Sales commissions, materials, and labor tend to be fixed costs.

Fixed Costs

Expenses that do not change in proportion to the activity of a business, such as rent, salaries, and insurance premiums.

Sales Commissions

Financial compensation awarded to sales personnel for meeting or exceeding sales targets, often a percentage of the sales they generate.

Materials

The physical substances or components needed to create a product or to carry out a service or process.

  • Apprehend the pecuniary aspects of marketing, such as breakeven analysis and the development of pricing strategies.
verifed

Verified Answer

ZK
Zybrea KnightJun 02, 2024
Final Answer :
False
Explanation :
Sales commissions, materials, and labor are typically considered variable costs because they change in direct proportion to the level of production or sales activity.