A Limitation of the High-Low Method Is That

question 42

Multiple Choice

A limitation of the high-low method is that

• A)It is costly to use because it uses a statistical technique to estimate the cost components.
• B)It is complex to calculate.
• C)It can only be used if the levels of activity cover a wide range.
• D)Because it is based on only two extreme points,the high and low activity levels,the cost equation may not be truly representative of the cost relationship.

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Definitions:

Single Mother

A woman raising her child or children without the presence or support of the other parent in the home.

Landlord

An individual or entity that owns and rents out real estate, such as apartments or houses, to tenants under agreed-upon terms.

Indirect Discrimination

Refers to a rule, policy, practice, or requirement that applies to everyone, but has the effect of creating disadvantage for people with a protected characteristic.

Direct Discrimination

Unequal treatment of individuals based explicitly on their characteristics, such as race, gender, or disability, in a way that is openly unfavorable or prejudiced.