Select the Appropriate Item for Each of the Definitions Listed

question 128

Multiple Choice

Select the appropriate item for each of the definitions listed below.
-allows a cost analyst to inspect the data visually

• A)high-low method
• B)scatter-graph method
• C)method of least squares

---

Definitions:

Profit Equation

A financial formula used to calculate a company's profits, typically represented as Total Revenues minus Total Expenses.

Fixed Cost

Costs that do not vary with the level of output or sales, such as rent, salaries, and insurance.

Variable Cost

Expenses that vary directly with the level of production or sales volume, such as raw materials and direct labor costs.

Break-Even Analysis

A technique that analyzes the relationship between total revenue and total cost to determine profitability at various levels of output.