A Graph Used to Analyze Past Cost Behaviors by Displaying

question 39

Multiple Choice

A graph used to analyze past cost behaviors by displaying costs and volume levels for each period as points on the diagram is called a:

• A) Least-squares diagram.
• B) Step-wise diagram.
• C) Scatter diagram.
• D) Break-even diagram.
• E) Composite diagram.

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Definitions:

Bar Graph

A graph that uses bars of varying heights or lengths to show the comparative sizes of different observations of a variable.

Linear Curve

A linear curve is a straight line graphically showing the relationship between two variables, with a constant slope and no curvature.

Slope

In mathematics, the measure of the steepness or incline of a line, expressed as the ratio of the vertical change to the horizontal change.

Scatter Diagram

A graph that shows points that correspond to actual observations of the x- and y-variables; a curve is usually fitted to the scatter of points to indicate the trend in the data.