Question

Kate is the owner of a small boutique business downtown. After looking over her business expenses and profits, she realizes that she needs to make cuts to her fixed expenses. What could she do with her fixed expenses?

Answer 1

In order to reduce her fixed costs, Kate would find a less expensive web designer for the store's website.

What is fixed cost?

Fixed cost is a type of cost that remains constant regardless of the level of output. It does not vary with the level of output.

An example of fixed cost is the fees of a web designer. The fee would not change with the sales of the small boutique.

Here are the options to this question:

Kate would find a less expensive web designer for the store's website Kate would get bids for new business insurance providers.

Kate would look for cheaper merchandise for the store for higher profits.

To learn more about fixed cost, please check: https://brainly.com/question/1494274