Which of the following items did joe include in his fixed expenses?

a. insurance
b. utilities
c. food
d. rent

Joe should include rent in his fixed expenses.

The correct answer is D            

Explanation:

Insurance should be regarded as a variable expense because it is influenced by the level of activity.

Utilities are variable expenses because they are affected by the level of activity.

Food should be included in the variable expenses because it depends on the level of consumption.

Rent should be treated as a fixed expense because it remains unchanged regardless of the level of activity.

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