Answer:
D. reduced its fixed assets.
Explanation:
In business, fixed assets include wide variety of tangible assets that company use for a long period of time. (such as building rent, machines, land, etc)
In order to cut down its expense, business could choose between cutting down the cost from fixed assets or cutting down the cost of labors.
If being done correctly, cutting down fixed assets can actually be more efficient still it wouldn't affect company's productivity as much as reduction in labors.
The company can do this by renting a cheaper place of their operation, minimizing the waste of energy when using their utilities, or opting on buying secondhand machinery that still run properly.