When using the high-low method,the variable component is computed before the fixed component is.

Name: When using the high-low method,the variable component is computed before the fixed component is.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

The high-low method involves using the highest and lowest activity levels to calculate the variable cost per unit, which is then used to separate the total cost into its variable and fixed components. Therefore, the variable component is calculated before the fixed component.

When Using the High-Low Method,the Variable Component Is Computed Before