________ measures cost behaviour according to what costs should be, NOT by what costs have been.
A) Engineering analysis
B) Account analysis
C) The high-low method
D) The least-squares regression method

Question

Quizplus · Accepted Answer

Engineering analysis involves breaking down a product or service into its individual components and calculating the costs of each component. By doing this, the cost behaviour can be predicted based on what costs should be, rather than what costs have been. This method is often used in manufacturing industries where the cost of producing a product can be accurately predicted based on the materials and labour required.

________ Measures Cost Behaviour According to What Costs Should Be