1) Palm, which uses the high-low method, had an average cost per unit of $50 at its lowest level of activity when sales equaled 1,000 units and an average cost per unit of $32.50 at its highest level of activity when sales equaled 2,400 units. Palm would estimate fixed costs as:

2) Carson, which uses the high-low method of estimating costs, reported total costs of $21.50 per unit when production was at its lowest level, at 11,000 units. When production doubled to its highest level, the total cost per unit dropped to $14. Carson would estimate its total fixed cost as:

3)