Given Actual Amounts of a Semivariable Cost for Various Levels

question 65

Multiple Choice

Given actual amounts of a semivariable cost for various levels of output,the method that will always give the most reliable measure of the fixed and variable components is the:

• A)high-low method.
• B)linear regression method.
• C)scattergraph method.
• D)account analysis methoD.Linear regression will always give the best line,high-low may give the best line,scattergraph and account analysis rely on judgment.