The high-low method needs three observations of costs to calculate the cost formula.The high-low method requires two observations of cost.

Name: The high-low method needs three observations of costs to calculate the cost formula.The high-low method requires two observations of cost.
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The high-low method requires two observations of cost and the corresponding activity levels to calculate the variable cost per unit of activity and the fixed cost component of the cost formula.

The High-Low Method Needs Three Observations of Costs to Calculate