What Is an Advantage of Using the Scattergraph Method Over

question 10

Multiple Choice

What is an advantage of using the scattergraph method over the high-low method to estimate costs?

• A) A cost analyst can review the data visually and eliminate outliers.
• B) It uses statistics to determine a "best fit" line through a set of data points.
• C) The cost formula can be determined simply by looking at two points of data.
• D) It provides a superior quality cost formulae because it relies on the objective judgement of the analysts.

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Definitions:

Pay Satisfaction

The level of contentment employees feel about their compensation, considering factors like fairness, adequacy, and comparison to others.

Frederick Herzberg

An American psychologist best known for developing the Motivator-Hygiene Theory, which distinguished between factors that cause job satisfaction and dissatisfaction.

Frederick Herzberg

An American psychologist best known for introducing the two-factor theory of motivation, distinguishing between motivators and hygiene factors in the workplace.

Abram Maslow

A rephrasing of Abraham Maslow, who was an American psychologist known for creating Maslow's hierarchy of needs, a theory of psychological health predicated on fulfilling innate human needs.