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When Using the Visual-Fit Method to Estimate a Cost Function,we

Question 130

Multiple Choice

When using the visual-fit method to estimate a cost function,we can estimate the fixed cost by ________.


A) the point where the sketched line (through all or most of the data points) intersects the x-axis
B) the point where the sketched line (through all or most of the data points) intersects the y-axis
C) calculating the variable cost per unit of the cost driver
D) subtracting the variable cost at any cost driver level from the total cost

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