Supply Costs at Lattea Corporation's Chain of Gyms Are Listed

Multiple Choice

Supply costs at Lattea Corporation's chain of gyms are listed below: Management believes that supply cost is a mixed cost that depends on client-visits. Using the high-low method to estimate the variable and fixed components of this cost, those estimates would be closest to:

A) $2.44 per client-visit; $28,623 per month
B) $1.33 per client-visit; $12,768 per month
C) $0.79 per client-visit; $19,321 per month
D) $0.75 per client-visit; $19,826 per month