Question

Cool Runnings operates a chain of frozen yogurt shops. The company pays $5,000 of rent expense per month for each shop. The managers of each shop are paid a salary of $3,000 per month and all other employees are paid on an hourly basis. Relative to the number of shops, the cost of rent is which kind of cost

Answer 1

Answer:

Variable cost

Explanation:

A variable cost is a corporate cost that adjustments with respect to creation yield. Variable costs increment or lessening relying upon an organization's creation volume; they ascend as generation increments and fall as creation diminishes.  

It is the corporate costs that change in direct extent to the amount of yield.