Which type of cost is known to remain unchanged in the short term regardless of production levels?

Fixed costs are expenses that do not change with the level of production or sales. This means that regardless of whether a company produces a large quantity of goods or none at all, the fixed costs remain the same in the short term. These can include costs such as rent for facilities, salaries for permanent staff, and certain utility expenses that do not fluctuate with production levels.

In contrast, variable costs fluctuate with production levels; they increase as production increases and decrease as production decreases. Operating costs encompass both fixed and variable costs, meaning they can vary depending on the business activities undertaken. Incremental costs pertain to the additional costs incurred when producing one more unit of a good, which are typically variable in nature. Therefore, fixed costs are the best choice for describing costs that stay constant in the short term despite changes in production.