ECONOMICS

Detailed explanation-1: -Fixed costs are expenditures that do not change based on the level of production, at least not in the short term. Whether you produce a lot or a little, the fixed costs are the same. One example is the rent on a factory or a retail space.

Detailed explanation-2: -A fixed cost is a cost that remains constant; it does not change with the output level of goods and services. It is an operating expense of a business, but it is independent of business activity. An example of fixed cost is a rent payment.

Detailed explanation-3: -In the short-run, fixed costs cannot be changed. All the changes in total cost happen due to changes in the variable cost.

Detailed explanation-4: -Marginal cost curve is not affected by the fixed cost.

Detailed explanation-5: -The short-run cost comprises both the fixed cost (that do not differ with the change in the degree of end results) and variable cost (that differs with the changes in the level of degree of end results).