A scattergraph plots past costs against past cost-driver levels, and visually indicates differences in the relationship between costs and activity at different activity levels. It can reveal the presence of curvilinear relationships between costs and it can show any data that appear to be unusual.

Question

Quizplus · Accepted Answer

A scattergraph plots individual data points of past costs against past levels of a cost driver, allowing for the visual identification of the relationship between costs and activity levels, including curvilinear relationships and outliers.

A Scattergraph Plots Past Costs Against Past Cost-Driver Levels, and Visually