Question

Suppose your expenses for this term are as follows: Tuition $9,000, What type of expense is tuition?

A) Variable
B) Fixed
C) Operating
D) Capital

Answer 1

Tuition falls under the category of fixed costs because it remains the same regardless of the level of production.

Step-by-step explanation:

The type of expense that tuition falls under is Fixed costs. Fixed costs are expenditures that do not change regardless of the level of production. Tuition is a fixed cost because it remains the same whether you take a few classes or a full course load. Other examples of fixed costs include rent, machinery or equipment costs, and research and development expenses.