Which of the following is considered fixed cost in a company?

Salaries of employees are classified as fixed costs because they represent consistent, ongoing expenses that a company incurs regardless of its production levels or sales volume. Fixed costs do not change with the output or sales; they remain constant over a specific period. Salaries, which are typically paid on a regular schedule, are not affected by changes in the company's activity level.

In contrast, raw materials are variable costs since they change directly with production volume—the more goods produced, the more materials are needed. Sales commissions, too, vary based on sales and are thus considered variable costs; they increase or decrease with the sales performance. Lastly, utility bills that fluctuate are treated as variable costs as well, as they can vary depending on usage, which can be influenced by production activity and operational needs.