Semivariable costs into their fixed and variable elements
Question:
Explain and use each of the following three methods to separate semi fixed or semivariable costs into their fixed and variable elements: high-low calculation, multipoint graph, and regression analysis.
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Explain why the high-low method may not be a good method to use to separate the fixed and variable portions of a cost.
Illustrate how the high-low calculation method can be used to separate the fixed and variable elements of a cost.
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Explain and use each of the following three methods to separate semi fixed or semivariable costs into their fixed and variable elements:
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The treasurer of Unisyms Company has accumulated the following budget information for the first two months of the coming year:
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