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determine cost function using high-low method
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∙ 14y ago
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.
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What are the advantages of high-low method?
The high-low method can help identify fixed and variable costs within a data set. It is simple and easy to apply, making it a quick way to estimate costs without complex calculations. Additionally, it can provide a rough estimate of future costs based on past data.
What is the different sum-of-the-year digits method versus the straight line method?
The sum-of-the-year digits method is an accelerated depreciation method that allocates a larger portion of the asset's cost to the early years of its useful life, while the straight-line method evenly distributes the depreciation expense over the asset's useful life. As a result, the sum-of-the-year digits method results in higher depreciation expense in the earlier years and lower depreciation expense in the later years compared to the straight-line method.
What are the advantages of the direct arc melting method?
The direct arc melting method offers high purity of materials, allows for precise control of the composition, and enables the production of custom alloys. Additionally, it has the capability of melting a wide range of materials, including refractory metals and reactive elements.
How do you calculate depreciation using Written Down Value Method?
To calculate depreciation using the Written Down Value method, you start with the initial cost of the asset, subtract the accumulated depreciation from previous periods, then apply the depreciation rate to the remaining value. The formula is: Depreciation expense = (Beginning book value - Salvage value) x Depreciation rate. This method allows for higher depreciation expenses in the early years of an asset's life.
What are advantages of greedy method?
Greedy algorithms are simple to implement and easy to understand. They typically have a low time complexity, making them efficient for some problems. Greedy algorithms can provide quick solutions when the problem can be solved by making locally optimal choices.
What are the advantages of the high low method?
what are the usefulness of high low method
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.
What are the limitations for high low method in accounting?
churvaness
What are the limitations for high-low method in accounting?
churvaness
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.
What is the simplest method to measure a linear cost function from past data?
high-low method
When you have an average high or low temperature what does is the mean temperature?
In a daily temp. average, there is high and low, also the term mean temperature. Define mean temperature.
Find the estimate cost equation using the high low method?
Coness
Define penetration index and show how it is related to temperature susceptibility?
high penetration index shows low temperature susceptibility, low penetration index shows high temperature suspectibility.
Define titanium oxide capacitors with diagram?
have a very high capacitance with a small physical size when used at a low temperature.
What is the criticized of high low method?
It ignores much of the available data by concentrating on only the extreme points.
Define high and low velocity impact?
In mechanics, an impact refers to the shock or force produced when two or more bodies collide. High and low velocity impacts basically differ in the speed at which the objects collided. Low velocity impact is normally under 30 mph while high velocity impact is above.
