Which of the following is a characteristic of the high-low method?
A)It is the most accurate method.
B)It cannot be affected by the presence of outliers.
C)It has the disadvantage of objectivity.
D)It is mathematically easy to calculate.

Question

Quizplus · Accepted Answer

The high-low method is mathematically easy to calculate, as it only involves finding the slope of a line between the highest and lowest data points, and using it to estimate costs. However, it has the disadvantage of subjectivity as it relies on the analyst to choose which data points to use, and it can be affected by outliers. It is not necessarily the most accurate method.

Which of the Following Is a Characteristic of the High-Low