When Using the High-Low Method, the Two Observations Used Are

question 98

Multiple Choice

When using the high-low method, the two observations used are the high and low observations of the ________.

• A) cost driver
• B) fixed cost component
• C) slope coefficient
• D) direct cost

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Definitions:

Disabled

This term refers to individuals who have a condition, either physical or mental, that substantially limits one or more major life activities.

Nontaxable Social Security

Social Security benefits that are not subject to federal income tax under certain income conditions.

Base Amount

A specific income threshold set by tax regulations, which may affect the calculation of deductions, credits, or taxes owed.

Credit Calculation

The process of determining the amount of credit that taxpayers are eligible to subtract directly from the taxes they owe to the government.