The High-Low Method Is a Reliable Method of Cost Estimation

question 49

True/False

The high-low method is a reliable method of cost estimation.

---

Definitions:

Operating Costs

Expenses associated with running a business on a daily basis, such as salaries, rent, and utilities.

Activity

Any action or series of actions performed by individuals or groups, often aimed at achieving a particular goal or outcome.

Liquidity

A measure of how easily assets can be converted into cash without significant loss in value.

Not-For-Profit Organization

An organization that operates for purposes other than making a profit, often focusing on social, educational, or charitable activities.