Which of the following statements concerning cost estimation models is incorrect?

A.

The scattergraph method is advantageous because decision makers are able to easily identify outliers.

B.

The equation derived using the high low method considers the lowest and highest values for the independent variable.

C.

Regression analysis is the least accurate method used to develop cost estimation models.

D.

Cost estimation models are not typically considered valid for activity levels that fall outside of the relevant range of operations.

E.

The managerial judgment method of determining cost behavior requires extensive knowledge of the companys operations.