To estimate the unit variable cost using the high-low method, identify the highest and lowest level of activity and compute the slope of the line.

Name: To estimate the unit variable cost using the high-low method, identify the highest and lowest level of activity and compute the slope of the line.
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Question

Quizplus · Accepted Answer

The high-low method involves using the highest and lowest levels of activity to calculate the variable cost per unit. The slope of the line between these two points represents the unit variable cost.

To Estimate the Unit Variable Cost Using the High-Low Method