Which of the following statements is true?
A)Semi-fixed costs increase in steps.
B)Semi-fixed costs usually involve a change in long-term assets.
C)Semi-fixed costs are curvilinear functions.
D)Semi-fixed costs have both fixed and variable components.

Question

Quizplus · Accepted Answer

Semi-fixed costs, also known as step costs, increase in steps as they remain constant over a range of activity levels and then jump to a new level when activity exceeds certain thresholds.

Which of the Following Statements Is True