Which of the following is an advantage of using the method of least squares rather than the high-low method?
A)It can be calculated without a calculator.
B)Two points are used to develop the cost function.
C)For a given set of data, it will always produce the same cost formulae.
D)The outlying observations have no effect on the cost function when the calculations are complete.

Question

Quizplus · Accepted Answer

The method of least squares considers all data points and minimizes the sum of the squares of the differences between observed and calculated values, leading to a consistent cost formula for a given set of data.

Which of the Following Is an Advantage of Using the Method