Three techniques are named for estimating cost behaviour: regression analysis, the scatter graph and the:
AHalf-year method
BHold-back method
CHigh-low method
DHire-fire method
Answer & Solution
Correct answer: C. High-low method
1. Two data points are used.
2. The highest and lowest activity levels are chosen.
3. It is the high-low method.
_Source: OpenStax Principles of Managerial Accounting, Chapter 2, Building Blocks of Managerial Accounting._
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