Higher output is usually linked to increased overtime payments and greater use of temporary staff. Senior management pay is more likely to stay constant. In other words, _____ can be considered a fixed component of the total wages paid.

Higher output is usually linked to increased overtime payments and greater use of temporary staff. Senior management pay is more likely to stay constant. In other words, _____ can be considered a fixed component of the total wages paid.

the wages paid to temporary staff
the salaries of senior management
the number of temporary workers
the overtime paid to workers

Explanation
A fixed cost remains constant even as output increases. Since senior management pay is likely to stay constant, it can be considered the fixed component of the total wages paid.