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Peter is a senior manager in an organization that is currently laying off its employees. It is Peter's responsibility to convey this message to the laid-off employees. Harry is one among them with whom Peter had a conflict a year ago. Therefore, in an attempt to avoid any such conflicts again, Peter requested a human resources representative to convey the message instead. In this case, Peter used the _____ heuristic.
Cost Formula Equation
An equation used to predict the total cost of production, combining both fixed and variable costs.
High-low Method
A technique used in cost accounting to estimate fixed and variable costs based on the highest and lowest levels of activity.
Mixed Cost
A cost that contains both variable and fixed cost elements, changing in total with changes in the activity level but not proportionately.
High-low Method
A technique used in managerial accounting to estimate variable and fixed costs based on the highest and lowest levels of activity.
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