Which of the following expenses is classified as a fixed expense on an appraiser's operating statement?

In the context of an appraiser's operating statement, fixed expenses refer to those costs that remain constant over a specific period, regardless of the occupancy or income generated by the property. Insurance is a prime example of a fixed expense because it typically involves predetermined premium payments that do not fluctuate with the property’s operational status. These payments are generally made annually or semi-annually and are not influenced by variations in the level of property use or occupancy rates.

On the other hand, administration costs can vary based on operational needs, while trash removal and utilities are typically considered variable expenses. Trash removal costs may change depending on the amount of waste produced, and utility costs can fluctuate based on usage levels, making them not fixed in nature. Therefore, insurance stands out as a fixed expense due to its consistent payment schedule, making it the correct classification on an operating statement.