What term describes all costs associated with running a rental fleet?

Prepare for the Enterprise Rental Car test. Use flashcards and multiple-choice questions with hints and explanations. Get ready for your exam!

The term that describes all costs associated with running a rental fleet is operating expenses. Operating expenses encompass a wide range of costs that are necessary for the day-to-day operations of the fleet, including maintenance, insurance, fuel, salaries for staff, and other administrative expenses. This term is broad enough to cover both fixed and variable costs associated with managing the rental cars.

In the context of running a rental fleet, fixed costs refer specifically to expenses that do not change with the level of service, such as leases or salaries of permanent employees, while variable expenses are those that fluctuate based on the level of operation, such as fuel costs and maintenance. Gross costs is a less commonly used term and does not specifically pinpoint the operational aspect of costs associated with a rental fleet. Hence, operating expenses is the most accurate and inclusive term for describing all related costs.

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