In those industries where capacity can be added only in discrete or "lumpy" increments, fixed assets are increased in a manner as sales increase.
A)proportional
B)stepwise
C)direct relationship
D)discriminant

Question

Quizplus · Accepted Answer

Lumpy increments refer to those where capacity can only be increased by adding a certain fixed amount of assets, which creates a stepwise pattern of capacity expansion rather than a proportionate one. Therefore, the best choice is "stepwise."

In Those Industries Where Capacity Can Be Added Only in Discrete