Which Characteristic Is True of the High-Low Method,the Scattergraph Method,and

question 118

Multiple Choice

Which characteristic is true of the high-low method,the scattergraph method,and regression analysis?

• A) All methods will produce the same estimate of variable and fixed costs.
• B) All methods use historic data to estimate variable and fixed costs.
• C) All methods use only two data points in analyzing a mixed cost.
• D) None of these are correct.

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