The CLSVOF method which combined the VOF method and Level Set method was put forward to compute the flow of incompressible two-phase. The precision of the CLSVOF method for computing the convection transport and momentum transport equation was studied and the comparison was made between the VOF method and Level Set method by using some classical two-phase flows. The results show when computing the convection transport equation, the CLSVOF method has much better precision than the Level Set method; and when computing the momentum transport equation, the CLSVOF method can avoid the problem of spurious velocity current which can not be avoided by using the VOF method.