1. A project supervisors salary is an example of a fixed cost.
   1. True
   2. False
2. Direct materials cost is an example of a fixed cost of production.
   1. True
   2. False
3. Total fixed costs change as volume of activity changes.
   1. True
   2. False
4. Variable costs are costs that remain constant in total dollar amount as the level of activity changes.
   1. True
   2. False
5. The fixed cost per unit varies with changes in activity base.
   1. True
   2. False