In regression analysis, if observed cost value is 50 and predicted cost value is 7, then disturbance term will be
A. 57
B. 43
C. 67
D. 47
Answer: Option B
Solution(By Examveda Team)
In regression analysis, if observed cost value is 50 and predicted cost value is 7, then disturbance term will be 43.Disturbance term = Observed cost value - Predicted cost value
= 50 - 7 = 43.
Related Questions on Costing
Basic objective of cost accounting is ________
A. tax compliance.
B. financial audit.
C. cost ascertainment.
D. profit analysis.
Process costing is suitable for ________.
A. hospitals
B. oil refing firms
C. transport firms
D. brick laying firms
The cost which is to be incurred even when a business unit is closed is a _____.
A. imputed cost
B. historical cost
C. sunk cost
D. shutdown cost
Join The Discussion