Wesson Company sold 10,000 units of its only product in the first half of the year.If sales decrease by 15% in the second half of the year,which cost will not change?

A) Direct materials.
B) Direct labor.
C) Sales commissions.
D) Factory supplies.
E) Depreciation on equipment.

Question

Kailash Rayamajhee · Accepted Answer

Final Answer : E, Explanation :  Depreciation on equipment is a fixed cost, meaning it does not change with the level of production or sales. It remains constant regardless of the company's output or sales volume.

Wesson Company sold 10,000 units of its only product in the first half of the year.If sales decrease by 15% in the second half of the year,which cost will not change?

A) Direct materials.
B) Direct labor.
C) Sales commissions.
D) Factory supplies.
E) Depreciation on equipment.

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Learning Objectives

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Wesson Company sold 10,000 units of its only product in the first half of the year.If sales decrease by 15% in the second half of the year,which cost will not change?A) Direct materials.B) Direct labor.C) Sales commissions.D) Factory supplies.E) Depreciation on equipment.

Definitions

Learning Objectives

Learning Objectives

Related questions

Wesson Company sold 10,000 units of its only product in the first half of the year.If sales decrease by 15% in the second half of the year,which cost will not change?

A) Direct materials.
B) Direct labor.
C) Sales commissions.
D) Factory supplies.
E) Depreciation on equipment.