Multiple Choice Questions 1. For most businesses, straight-line depreciation on the company's buildings is a A. variable cost B. fixed cost C. mixed cost D. step cost 1. If a per-unit cost remains constant over a wide range of volume, the cost is most likely a A. variable cost B. fixed cost C. mixed cost D. step cost 2. The cost per unit decreases as volume increase for which of the following cost behaviors? A. variable costs and fixed costs B. variable costs and mixed costs C. fixed costs and mixed costs D. only fixed costs 3. Which of the following cost behaviors best explains why companies like to operate at or near full capacity? A. variable cost B. fixed cost C. mixed cost D. step cost 4. Each month, a fitness club incurs $7,000 of fixed operating costs plus $6 of operating costs for every club member. If r represents the number of club members, which of the following best describes the club's total monthly operating costs? A. y=$7,000x B. y=$6 C. y =$6x Dy=$7000+$6x