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Southern Food Service operates six restaurants in the Atlanta area. The company pays rent of $20,000 per year for each shop. The managers of each shop are paid a salary of $4,200 per month and all other employees are paid on an hourly basis. Relative to the number of hours worked, total compensation cost for a particular shop is which kind of cost, respectively?

A.Variable cost/fixed cost
B.Fixed cost/fixed cost
C.Fixed cost/variable cost
D.Variable cost/variable cost

User Amrox
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1 Answer

1 vote
c is the correct answer
User Antonis
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