Land taxes, annually hired labour come under:

Correct option is B

Correct answer – (B)

Fixed costs are those costs which do not change with the level of output or production in the short run.
They are incurred by the farm irrespective of whether production takes place or not.

Land taxes are paid annually and remain constant regardless of crop yield or area cultivated.
Hence, they are treated as fixed costs in farm management.

Similarly, annually hired labour is paid on a fixed contractual basis.
The payment does not vary with daily or seasonal changes in farm output.

Therefore, both land taxes and annually hired labour fall under fixed costs.

Why other options are incorrect

(A) Variable cost
Variable costs change with the level of production.
Examples include seeds, fertilizers, and casual labour, not annual taxes or permanent labour.

(C) Marginal cost
Marginal cost refers to the additional cost of producing one extra unit of output.
It is a concept derived from changes in variable cost, not a cost item itself.

(D) Implicit cost
Implicit costs are imputed costs of owned resources like family labour or own land.
Land taxes and hired labour involve actual cash payments, so they are explicit, not implicit.