Which step of estimating a cost function using quantitative analysis is the most difficult step for a manager to implement in cost analysis?
A)Step 1: Choose the Dependent Variable.
B)Step 2: Identify the Independent Variable,or Cost Driver.
C)Step 3: Collect Data of the Dependent Variable and the Cost Driver.
D)Step 4: Plot the Data.
E)Step 5: Estimate the Cost Driver of the Estimated Cost Function.

Question

Quizplus · Accepted Answer

Collecting data of the dependent variable and the cost driver (Step 3) is often the most difficult step because it involves gathering accurate and relevant data, which can be time-consuming and challenging, especially in complex business environments.

Which Step of Estimating a Cost Function Using Quantitative Analysis