56. Assume you are planning a spring break ski trip to Colorado. You are preparing a budget of your costs. You are staying at a lodge that has a special where the lodge charges you $2 for each ski lift ride. You believe you will ride the ski lift 40 times during the week, so you budget $80. The ski lift cost is an example of a a. fixed cost. b. variable cost. c. mixed cost. d. step cost. 57. Which of the following is a characteristic of a fixed cost? a. The total cost remains constant, regardless of changes in the level of activity. b. The cost per unit varies proportionately with changes in the level of activity. c. The total cost varies when activity changes during the period. d. The unit and total costs remain constant. 58. You are considering moving off campus. You have found a one-bedroom apartment very near campus that is clean and safe. However, you do not want to live alone. A one- bedroom apartment is roomy enough to have one or two roommates. The manager discourages having more than one individual in an apartment and so charges rent per person. The relationship between the number of roommates, the total cost, and the cost per person is: Number of Total Cost per Roommates Person Cost $ 600 1,200 $600 600 1,800 600 This is an example of a a. fixed cost. b. variable cost. c. mixed cost. d. step cost. 59. Suppose your cell phone company offers a plan under which you can buy time in blocks of 100 minutes. Every 100-minute block costs $15. If you use 101 minutes you will pay $30. This is an example of a a. variable cost b. mixed cost. c. fixed cost. d. step cost. 60. Suppose you are charged a $10 per month base charge for your electrical service. You are also charged an additional $0.08 for every kwh of electricity you use. Which one of the following statements is not true? a. The $10 base charge is a fixed cost. b. The $0.08 charge per kwh is a variable cost. c. The total cost is an example of a step cost. d. The total cost is an example of a mixed cost