51. If the activity level increases, what happens to the total fixed cost? a. It decreases. b. It increases. c. It remains the same. d. It depends on how much the activity level increases. 52. If the activity level increases, what happens to the unit fixed cost? a. It decreases. b. It increases. c. It remains the same. d. It depends on how much the activity level increases. 53. If activity level increases, what happens to the unit variable cost? a. It remains the same. b. It decreases. C. It increases. d. It depends on how much the activity level increases. 54. Which of the following is an example of a variable cost for a bicycle manufacturer? a. Rent b. Insurance c. Tires d. Depreciation 55. When managers talk about cost behavior, they are referring to a. where a cost is reported on the income statement. b. the way in which total costs change in response to changes in the level of activity. c. the method used to determine whether a cost is accrued or expensed. d. the way cost is reported with ance sheet. 2,922 words