Vidyalelo
Commerce · Q455

Costing

Graduate and Post Graduate · Commerce · question 455

Q455

Better fit between estimated cost and actual observations is represented by

A.
variable residual terms
B.
smaller residual terms
Answer
C.
larger residual terms
D.
zero residual terms

Answer: Option B

Solution

Answer: Option B
Solution:
Better fit between estimated cost and actual observations is represented by smaller residual terms.