In step cost functions, cost is increased by

Here is a brief explanation of each option:

• Option A: Discrete amounts. This is the correct answer. In a step cost function, the cost increases in discrete amounts, or steps.
• Option B: Same amounts. This is not the correct answer. In a step cost function, the cost does not increase in the same amounts. It increases in discrete amounts.
• Option C: Linear amounts. This is not the correct answer. In a step cost function, the cost does not increase in linear amounts. It increases in discrete amounts.
• Option D: Nonlinear amounts. This is not the correct answer. In a step cost function, the cost does not increase in nonlinear amounts. It increases in discrete amounts.