Estimate variable shipping expenses to ship 12 air conditioners if the shipping company reduces the variable cost per unit by 10% for each unit shipped in excess of 10 units.

Phillips Company manufactures air-conditioning units for commercial buildings and has noticed considerable variation in shipping expenses from month to month as per the data below:

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Month January February March April May June July Units Shipped 4452366 2 Total Shipping Expense $2,200 $3,100 $2,600 $1,500 $2,200 $3.000 $3,600