Use the Range Rule of Thumb to Estimate the Standard $$\begin{array} { l l l l l l l l } 113.9 & 114.0 & 116.4 & 115.0 & 116.0 & 115.6 & 112.7 & 115.5\end{array}$$

question 76

Multiple Choice

Use the range rule of thumb to estimate the standard deviation. Round results to the nearest tenth.
-The following is a set of data showing the water temperature in a heated tub at different time intervals.
$$\begin{array} { l l l l l l l l } 113.9 & 114.0 & 116.4 & 115.0 & 116.0 & 115.6 & 112.7 & 115.5\end{array}$$

• A) 1.2
• B) -55.9
• C) 0.7
• D) 0.9

---

Definitions:

Relevant Range

The range of activity within which assumptions about variable and fixed cost behavior are valid.

Cost Behaviour

The way in which a cost changes or reacts in relation to changes in business activity levels.

Variable Selling Expenses

Sales-related costs that vary directly with the volume of sales, such as commissions and shipping charges.

Contribution Approach

An income statement format that organizes costs by their behavior. Costs are separated into variable and fixed categories rather than being separated according to organizational functions.