A major advantage of the high-low method of cost estimation is that it omits all data from the analysis other than the lowest and highest costs.

Question

Quizplus · Accepted Answer

The high-low method of cost estimation uses the highest and lowest costs to estimate the fixed and variable components of a cost, but it does not omit all other data from the analysis. Other data can still be used to provide additional information and to check the accuracy of the estimated costs.

A Major Advantage of the High-Low Method of Cost Estimation