Vidyalelo
Commerce · Q425

Costing

Graduate and Post Graduate · Commerce · question 425

Q425

In step cost functions, cost is increased by

A.
discrete amounts
Answer
B.
same amounts
C.
linear amounts
D.
nonlinear amounts

Answer: Option A

Solution

Answer: Option A
Solution:
In step cost functions, cost is increased by discrete amounts. A discrete quantity can only take on certain values.