Learn how to use the High-Low Method to separate fixed and variable costs efficiently. Discover its applications, limitations, and how to calculate costs.

Paying attention to manufacturing costs is a necessity, no matter the size of your business, but for smaller enterprises that have lower cash reserves, carefully monitoring the production expenses is ...

The high-low method is used in cost accounting to estimate fixed and variable costs based on a business's highest and lowest levels of activity. By focusing on these extremes, the high-low method ...

Businesses use the high-low method of accounting when they want to accurately calculate the variable and fixed costs for a certain amount of sales. If a business finds that certain sales levels are ...

Calculating the cost of goods sold gives a business insight into its performance and helps calculate profit. Many, or all, of the products featured on this page are from our advertising partners who ...