Answer:
The correct answer is the first option: True.
Step-by-step explanation:
To begin with, the term of "Incremental Costs" is understood as the costs that are added to the total manufactured costs during the production when the company decides to produce one more unit and that action will cause that the whole costs increase a bit more and the complete sum of all the new costs that were aggregate due to that decision make are called incremental costs because as they name indicates, they increment the costs of production of the goods.