Regression is a more precise method of estimating the fixed and variable components of a mixed cost than the high-low method or a scattergraph.

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Quizplus · Accepted Answer

Regression analysis uses mathematical formulas to estimate the fixed and variable components of a mixed cost, whereas the high-low method and scattergraphs involve more subjective methods of estimation. Therefore, regression analysis is considered a more precise method of cost estimation.

Regression Is a More Precise Method of Estimating the Fixed