The method that can be used to separate semi-variable costs into their fixed and variable components is:

Question

Quizplus · Accepted Answer

All of the methods listed (high-low method, line of best fit, and linear regression method) can be used to separate semi-variable costs into their fixed and variable components. The high-low method involves comparing the highest and lowest levels of activity to determine the variable cost per unit of activity and then using this information to calculate the fixed cost component. The line of best fit and linear regression method involve using statistical analysis to create an equation that describes the relationship between the activity level and the cost, which can be used to separate the fixed and variable components. Therefore, all of the methods are viable options for separating semi-variable costs.

The Method That Can Be Used to Separate Semi-Variable Costs