The Scattergram Allows Cost-Volume Relationships to Be Visually Scanned for Outlier

question 20

Multiple Choice

The scattergram allows cost-volume relationships to be visually scanned for outlier observations that should be:

• A)included in the calculation of the cost formula of a mixed cost.
• B)ignored in the calculation of the cost formula of a mixed cost.
• C)included in the calculation of the fixed cost component of the mixed cost.
• D)included in the calculation of the variable rate component of the mixed cost.

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