Weaknesses of the High-Low Method Include All of the Following

question 53

Multiple Choice

Weaknesses of the high-low method include all of the following EXCEPT

• A)only two observations are used to develop the cost function.
• B)the high and low activity levels may not be representative.
• C)the method does not detect if the cost behaviour is nonlinear.
• D)the method is relatively complex and difficult to apply.