fixed cost
n. C / Un. a business expense that stays the same no matter how much you produce or sell. You have to pay it even if you do no business at all, like your monthly rent or insurance.
n. an operating expense that remains constant in total regardless of changes in the level of activity or production volume within a relevant range. Typically contrasted with variable costs, such as raw materials or direct labor.
Rent is a fixed cost that we pay every month.
Even when the factory was closed for repairs, the owner still had to cover fixed costs like property taxes and equipment leases.
In a capital-intensive industry, the high proportion of fixed costs to total costs means that a company must maintain high production levels to achieve a low unit cost.
Commonly used in the plural 'fixed costs' when referring to the general category of expenses.