When using the high-low method, should you base the high and low observations on the dependent variable

Question:

When using the high-low method, should you base the high and low observations on the dependent variable or on the cost driver?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Cost Accounting A Managerial Emphasis

ISBN: 978-0136126638

13th Edition

Authors: Charles T. Horngren, Srikant M.Dater, George Foster, Madhav

See More Books

Question Posted: Mar 12, 2011 02:20 AM

See More Questions

Using the high low method 1 Estimate the variable cost per wedding 2 Compute the total fixed cost per month 3 Write out the equation for the cost structure of Something New explain each variable 4...
Georgia bleadown company uses the high low method to analyze production costs. The following information related to the production data for the first six months of the year. What is the estimated...
When you get a surprisingly low price on a product do you assume that you got a really good deal or that you bought a low-quality product? Research indicates that you are more likely to associate low...
Consider n x n real matrices A satisfying A = A = A-. (a) When n = 2, determine all such matrices. (b) Assuming that -1 is not an eigenvalue of A, determine all such nxn matrices.
Albert is piloting his spaceship, heading east with a speed of 0.95c relative to Earth. Albert's ship sends a light beam in the forward (eastward) direction, which travels away from his ship at a...
A study using five samples finds that the mean of each sample is as follows: Sample 1 = 6.7; Sample 2 = 14.2; Sample 3 = 13.8; Sample 4 = 10.4; Sample 5 = 15.8. Suppose that HSD (with q based on =...
How many levels are there in a single-factor independent-measures design comparing depression scores of participants with and without treatment? a. 1 b. 2 c. 3 d. 4
The fermentation of corn produces a mixture of 3.3 mol% ethyl alcohol in water. If 20 mol% of this mixture is distilled at 1atm by a simple, batch distillation, calculate and plot the...
DeYoung Entertainment Enterprises is considering replacing the latex molding machine it uses to fabricate rubber chickens with a newer, more efficient model. The old machine has a book value of...
You have been hired by Gnomeo, Inc., a company that buys and resells miniature garden gnomes. The company started business on January 1, 2019. The chief accountant has asked you to compile a set of...
List the six steps in estimating a cost function on the basis of an analysis of a past cost relationship which step is typically the most difficult for the cost analyst?
Describe three criteria for evaluating cost functions and choosing cost drivers.
The length of each side of a cube is multiplied by 3. What is the change in the surface area of the cube? A The surface area is 3 times the original surface area. B The surface area is 6 times the...
What's your favourite way to promote and build interpersonalwellness? How do you nurture your relationships? How do you build friendships? How do you show your loved ones that you care? Share your...
What is the best way to summary this formation? IMC Communication Objectives Increase from 0% to 75% of Millennials in the Dallas-Fort Worth area, ages 22 - 34, with a four-year college degree,...
Branding is very important to marketing, that is while most businesses focus on brands that attract customer's interest. Store brand is unique to a particular store compared to national brand . A...
Do you think that your score accurately reflects your global mindset? Why or why not? What, if anything, is missing from the assessment? How do you think that having a higher global mindset will help...
Healthcare is an ever-changing industry that requires healthcare organizations to align with those changes or risk being left behind. With the advances being made in technology, every corner seems to...
Let X be a normal random variable with expected value = 6 and standard deviation = 1. Consider random variable W = 3X2 . Find the expected value E[W] and the probability P(W > 120).
Consider model (9.18). What is the effect on the model parameter estimates, their standard errors, and the goodness-of-fit statistics when (a) The times at risk are doubled, but the numbers of deaths...
A buffer is 0.100 M in NH 4 Cl and 0.100 M in NH 3 . When a small amount of hydrobromic acid is added to this buffer, which buffer component neutralizes the added acid? a) NH4+ b) Cl c) NH3 d) None...
Benchmarking is about comparing your firms performance against the best levels of performance in the market and has nothing to do with variance analyses. Do you agree?
What is the material efficiency variance? a. 11,000 favorable b. 400 unfavorable c. 10,600 unfavorable d. 21,600 favorable The following data relate to the budget and actual results of Oscar...
What is the labor price variance? a. 62,250 favorable b. 72,625 unfavorable c. 134,875 favorable d. 10,375 unfavorable The following data relate to the budget and actual results of Oscar Enterprises,...
Comparative financial statements for Weller Corporation, a merchandising company, for the year ending December 31 appear below. The company did not issue any new common stock during the year. A total...
Mrquered Mrquered
You plan to invest $10,00 today in an investment account earning 5% interest. You then plan to invest an additional $1,000 into this account each year for the next twenty years. How much money will...

When using the high-low method, should you base the high and low observations on the dependent variable

Question:

Step by Step Answer:

Causality in a cost function runs from t...View the full answer

Cost Accounting A Managerial Emphasis

Students also viewed these Cost Accounting questions