ECONOMICS

Detailed explanation-1: -Examples of fixed overhead costs include: Rent of the production facility or corporate office. Salaries of plant managers and supervisors.

Detailed explanation-2: -Salary of office manager an example of fixed cost.

Detailed explanation-3: -For example, a company might buy machinery for a manufacturing assembly line that is expensed over time using depreciation. Another primary fixed, indirect cost is salaries for management. Any fixed costs on the income statement are accounted for on the balance sheet and cash flow statement.

Detailed explanation-4: -Fixed costs tend to be costs that are based on time rather than the quantity produced or sold by your business. Examples of fixed costs are rent and lease costs, salaries, utility bills, insurance, and loan repayments. Some kinds of taxes, like business licenses, are also fixed costs.