Classifying Cost Behavior
Classify the total costs of each of the following as variable, fixed, mixed, or step.
a Straightline depreciation on a commercial solar system
b Maintenance costs at a hospital
c Rent on video conferencing equipment charged as a fixed amount per month, plus an additional charge per hour of technician time
d Cost of goods sold in a bookstore
e Salaries paid to temporary instructors in a college as the number of course sessions varies
f Lumber used by a house construction company
g The costs of operating a research department
h The cost of hiring a dance band for three hours
i Laser printer paper for a department printer
j Electric power in a restaurant