Cool Runnings Operates a Chain of Frozen Yogurt Shops

Multiple Choice

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?

A) Variable cost
B) Fixed cost
C) Mixed cost
D) Opportunity cost