31. Which of the following methods can be used the estimate cost behavior? A. Engineering estimates. B. Account analysis C. Statistical methods, such as regression analysis. D. All of the above. 32. Which of the following can complicate the analysis of cost estimation? C. Outliers D. All of the above. A. Inflation. B. Missing data. 33. A scattergraph is useful for identifying outliers/irrelevant data points. A. True. B. False. 34. The account analysis method is more objective than other estimation methods because it relies heavily on the personal judgment and experience of accountants. A. True. B. False. 35. A disadvantage of the high-low method of cost analysis is that it A. Is too time consuming to apply. B. Typically results in a totally inaccurate cost formula. C. Relies totally on the judgment of the person performing the cost analysis. D. Uses only two data points, which may not be representative of normal conditions 36. One advantage that regression techniques have over other cost estimation methods is it generates information that can be used to determine how well the estimated cost equation will predict future costs. A. True. B. False. 37. The learning curve effect will eventually disappear as the number of units produced increases. A. True. B. False. 38. Which of the following statements does not reflect one of the fundamental themes fort ydeiso eunerial underlying the design of cost systems for managerial purposes? A. Cost systems should have a decision focus. B. Different cost information is used for different purposes. C. The primary purpose of cost systems is to gather information to value inventory D. Cost information for managerial purposes must meet the cost-benefit principle