Which Is NOT a Step Cost

question 49

Multiple Choice

Which is NOT a step cost?

• A)When oil and gas exploration activity reaches a certain level in a given area,a company leases an additional rig.The lease cost of the rigs is a step cost.
• B)When ten nurses are added to a shift,a nursing supervisor is also added to the shift.The salaries of the nursing supervisors are a step cost.
• C)When a telemarketing company adds ten workers to a shift,a supervisor is also added to the shift.The salaries of the supervisors are a step cost.
• D)When a manufacturing company ceases production,a skeleton crew of maintenance workers continues to work,but the rest are terminated.When production resumes,maintenance workers are rehired in direct proportion to the amount of production.The wages of the maintenance workers are a step cost.

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Definitions:

Gestational Diabetes

A type of diabetes that develops during pregnancy and usually resolves after giving birth.

Vaccination

The process of administering a vaccine to stimulate an individual's immune system to develop protection against a specific disease.

Sexual Education

The comprehensive teaching of sexual health topics, including anatomy, reproduction, sexual behavior, relationships, and safe sex practices, intended primarily for adolescents.

Eradicated

Completely destroyed or removed; often used in the context of eliminating a disease.