Classify each of the following costs as variable, fixed, mixed, or step by writing an X under one of the following headings (Sales volume is the cost driver).

\begin{array}{|l|l|c|c|c|c|}\hline & & \text { Variable } & \text { Fixed } & \text { Mixed } & \text { Step } \\\hline 1.& \text { Total selling and administrative costs } & & & & \\\hline 2 . & \text { Salaries of supervisors of five employees } & & & & \\\hline 3 . & \text { Raw materials used in production } & & & & \\\hline 4 . & \text { Power consumption in a restaurant } & & & & \\\hline 5 . & \text { Cost of goods sold in a bookstore } & & & & \\\hline 6.& \text { Salaries of employees who handle } 20 \text { claims } \\&\text { per month } & & & & \\\hline 7 . & \text { Pulpwood in a paper mill } & & & & \\\hline 8.&\text { Salaries of two secretaries in the corporate } \\&\text { office } & & & & \\\hline 9 . & \text { Total current manufacturing costs } & & & & \\\hline 10.&\text { The cost of an automobile rented on the basis } \\&\text { of a daily charge plus E. } 30 \text { per mile } & & & & \\\hline\end{array}

Which One of the Following Sentences About Step Costs Is

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