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 ...

The high-low method is one of many ways an accountant can calculate the variable cost of producing a good or service. As is often the case with most accounting tools, the high-low method has ...