At the High Level of Activity in November, 7,000 Machine

Multiple Choice

At the high level of activity in November, 7,000 machine hours were run and power costs were $16,000.In April, a month of low activity, 2,000 machine hours were run and power costs amounted to $8,000.Using the high-low method, the estimated fixed cost element of power costs is

A) $16,000.
B) $8,000.
C) $4,800.
D) $11,200.