. An analyst is forecasting operating costs for a company with relatively high fixed costs, sensitivity to economic conditions, and commodity inputs with volatile pricing. The company does not follow a hedging strategy for commodity purchases but tries to buy when prices are low. Which of the following is most appropriate to use in forecasting operating costs? The analyst uses:

A. analyst discretion to forecast all operating costs.

B. management guidance to forecast all operating costs.

C. management guidance to forecast fixed operating costs and analyst discretion to forecast variable operating costs.