ECONOMICS

Detailed explanation-1: -Hence salary of general manager is a fixed expenses.

Detailed explanation-2: -Usually management salaries are considered an overhead cost, a fixed cost. In some businesses some non-management salaried people are considered a variable cost and a fixed cost in others. In other businesses all employees are considered fixed costs.

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: -Salary of office manager an example of fixed cost.

Detailed explanation-5: -Salaries are shown under Employee Benefit Expenses.