Maintenance Costs at a Neller Corporation Factory Are Listed Below

Multiple Choice

Maintenance costs at a Neller Corporation factory are listed below: Management believes that maintenance cost is a mixed cost that depends on machine-hours.Using the high-low method to estimate the variable and fixed components of this cost,these estimates would be closest to:

A) $1.85 per machine-hour;$21,325 per month
B) $3.77 per machine-hour;$15,648 per month
C) $9.07 per machine-hour;$26,762 per month
D) $0.27 per machine-hour;$26,071 per month