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churvaness
What else can I help you with?
What are the limitations for high-low method in accounting?
churvaness
What are the advantages of the high low method?
what are the usefulness of high low method
Why do you say the high low method is easy to use and understand?
The high-low method is easy to use and understand because it involves selecting the highest and lowest activity levels and their respective costs to determine variable and fixed costs. This method is straightforward and does not require complex calculations, making it accessible even to those with limited accounting knowledge.
What is High-low method of variable cost and fixed cost?
High and low method is the method for separating fixed cost and variable cost from mixed cost.
Is the high-low method less accurate than the least-squares regression method for analyzing the behavior of mixed cost?
The fact that the high-low method uses only two data points is a major defect of the method.
Define high low method?
The high-low method is a technique used to separate fixed and variable costs within a mixed cost. By comparing the highest and lowest activity levels and the corresponding total costs, this method allows you to estimate the fixed and variable components of a cost.
What is the simplest method to measure a linear cost function from past data?
high-low method
Find the estimate cost equation using the high low method?
Coness
What is the criticized of high low method?
It ignores much of the available data by concentrating on only the extreme points.
What is the high plus the low divided by 2?
To find the average of the high and low values, you add the high value to the low value and then divide the sum by 2. The formula is: (high + low) / 2. This calculation gives you the midpoint or average of the two values. It’s a useful method for finding a central value between two extremes.
What are the limitations of current transformers?
low accuracy
How do you calculate fixed cost and variable cost given total cost and quantity?
We can calculate using following methods 1 - High-Low method 2 - Regression analysis method 3 - Graphical method
