A Major Disadvantage of the Scattergraph Method of Analyzing Cost

question 61

Multiple Choice

A major disadvantage of the scattergraph method of analyzing cost behavior is:

• A)It bases its solution on only two observations.
• B)It results in its analyzed cost being treated as either fixed or variable,based on which type of behavior it more closely resembles.
• C)Two persons could draw different lines through the data points.
• D)It enables non-representative points,called outliers,to be identified.

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Definitions:

Modifying Work Stressors

The process of identifying and adjusting factors in the work environment that contribute to stress in order to reduce their negative impact on employees.

Bonuses

Additional financial rewards provided to employees or staff beyond their regular pay, typically for achieving specific targets or exemplary performance.

Workplace Aggression

Behaviors aimed at causing harm or expressing hostility towards others in a professional setting.

Physical Assault

A violent act where one person inflicts physical harm upon another.