Answer:
E. All of the above
Explanation:
The effect of changes in organisational activities on the cost associated with them, determines the cost behavior.
Cost behavior is also determined by the manager to analyze the changes in cost due to changes in the output level within the organisation.
In the above given question;
All of the given options are related to the changes in organisational activities. Thus, the answer is (e. all of the above) which states that all the given options can be applied to determine the cost behavior.
5. A controller in a company wants to estimate the cost behaviour of customer service costs....
5. A controller in a company wants to estimate the cost behaviour of customer service costs. Which of the following is an application of managerial judgement in determining cost behaviour? A. The accountant performs a scattergraph analysis and deletes several data points determined to be outliers. B. The accountant decides to use the last three years' data, but excluding the period when there, was a workers' labour strike which resulted in reduced productivity C. The accountant runs a regression using...
5. A controller in a company wants to estimate the cost behaviour of customer service costs. Which of the following is an application of managerial judgement in determining cost behaviour? A. The accountant performs a scattergraph analysis and deletes several data points determined to be outliers. B. The accountant decides to use the last three years' data, but excluding the period when there, was a workers' labour strike which resulted in reduced productivity C. The accountant runs a regression using...
5. A controller in a company wants to estimate the cost behaviour of customer service costs. Which of the following is an application of managerial judgement in determining cost behaviour? A. The accountant performs a scattergraph analysis and deletes several data points determined to be outliers. B. The accountant decides to use the last three years' data, but excluding the period when there, was a workers' labour strike which resulted in reduced productivity C. The accountant runs a regression using...
Modelling Cost Behaviour MEW has been contracted by one of its customers to produce two new components in the next year. The management accountant has been asked to prepare costings for the two new components and is concerned that the current method of calculating the overhead cost per unit is not accurate enough. She has collected monthly information for the current year on the fixed and variable overheads incurred and on potential alternative allocation bases that can be used to...