Question: When the high-low method of estimating a cost behavior pattern is used: a) cost and volume data must be reviewed for outliers. b) the direct
When the high-low method of estimating a cost behavior pattern is used:
| a) cost and volume data must be reviewed for outliers. | |
| b) the direct result of the high-low calculations is the fixed expense amount. | |
| c) the highest and lowest sales price and volume amounts are used in the calculation. | |
| d) the resulting cost formula will explain total cost accurately for every value between the high and low volumes. |
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