Question

David manages a Shoney's restaurant. He is considering staying open later in the evening. For David, the variable costs associated with staying open longer hours will include all of the following except___________.a.rent on the restaurant building.b.hours worked by the servers.c.energy costs.d.hours worked by cooks.e.ingredients used in preparing food.

Answer 1

.a.rent on the restaurant building.

Step-by-step explanation:

Variable costs are costs that changes with the level of production.

If David extends opening hours, hours worked by the servers, energy costs, hours worked by cooks and ingredients used in preparing food would increase. Therefore, they are all variable cost.

Fixed cost are costs that do not change with production level.

If David extends opening hours, the rent paid isn't affected in any way.

I hope my answer helps you.