Inspection Costs at One of Iuliano Corporation's Factories Are Listed

Multiple Choice

Inspection costs at one of Iuliano Corporation's factories are listed below: Management believes that inspection cost is a mixed cost that depends on units produced. Using the high-low method, the estimate of the fixed component of inspection cost per month is closest to:

A) $16, 210
B) $7, 746
C) $15, 761
D) $16, 111