1) High-low method is normally more accurate than least-squares regression method in analyzing cost behavior.
i) True
ii) False
2) In least-squares regression method, total cost is considered to be "Y", dependent variable.
i) True
ii) False
3) On income statement prepared by traditional approach, costs are organized and presented according to function.
i) True
ii) False
4) Following costs are all examples of committed fixed costs: depreciation on buildings, advertising, insurance, and management development and training.
i) True
ii) False
5) Least-squares regression method calculates regression line which minimizes sum of squared deviations from plotted points to line.
i) True
ii) False