Discuss the conference method for estimating a cost function. What are the advantages of this method? ..... The conference method estimates cost functions on the basis of analysis and opinions about costs and their drivers gathered from various departments of a company (purchasing, process engineering, manufacturing, employee relations, etc.). Advantages of the conference method include the following: 1. The speed with which cost estimates can be developed, as the method does not require detailed analysis of data. 2. The pooling of expert knowledge from different business functions of the value chain gives the conference method credibility 3. Data are either not available for all observations or not uniformly reliable. Fixed costs are allocated as if they were variable. It will most reliably predict the values of the MOH cost pool. The improved credibility of the cost function to all personnel. The pooling of expert knowledge from different business functions of the value chain gives the conference method credibility. The speed with which cost estimates can be developed, as the method does not require detailed analysis of data