Which of the following statements related to cost estimation methods is true? O a. The scatter-graph method is used to derive an estimated line of cost behavior by graphically connecting the two cost amounts identified with the highest and lowest volume levels. O b. Only high-low method has a slope and an intercept. O c. None of the given answers. O d. The least-squares regression method is the most accurate and reliable method to determine the cost behavior compared to scatter-graph plot and high-low methods. O e. The most complex method of cost estimation is the high-low method.

Which of the following statements related to cost estimation methods is true? O a. The scatter-graph method is used to derive an estimated line of cost behavior by graphically connecting the two cost amounts identified with the highest and lowest volume levels. O b. Only high-low method has a slope and an intercept. O c. None of the given answers. O d. The least-squares regression method is the most accurate and reliable method to determine the cost behavior compared to scatter-graph plot and high-low methods. O e. The most complex method of cost estimation is the high-low method.

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter13: Regression And Forecasting Models

Section13.3: Simple Regression Models

Problem 9P

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