Which of the following factors does not influence variable costs in a business?

Variable costs are expenses that change in direct proportion to the level of production or business activity. The correct option indicates that bank interest rates do not influence variable costs.

This is because variable costs are specifically related to the production processes, involving costs that vary with the quantity of goods produced, such as labor costs (which might fluctuate based on the amount of work necessary) and materials costs (which increase as more products are manufactured).

Bank interest rates, on the other hand, relate to the cost of borrowing money for financing purposes and are classified as fixed or semi-variable costs rather than variable costs. They do not fluctuate with changes in production volume, so they do not have a direct impact on the variable costs incurred through production and manufacturing activities.