A. In applying the high-low method, what is the unit variable cost? TEST NOTE: Also be able to calculate what the fixed cost AND the total Cost would be. Also be able to calculate what a new total cost would be at a different mileage (for example at 95,000 miles) Month Miles Total Cost January 80,000 $ 96,000 February 50,000 80,000 March 70,000 94,000 April 90,000 140,000 A) $1.44 B) $1.50 C) $1.60 D) Cannot be determined from the information given. B. In applying the high-low method, what is the fixed cost? Month Miles Total Cost January 80,000 $144,000 February 50,000 120,000 March 70,000 141,000 April 90,000 195,000 A $26,250 B) $54,000 C) $21,000 D) $75,000 C. Buffalo Payroll & Billing produces office machinery. High and low level of activity last year was 60,000 units of product produced in May and 20,000 units produced in November. Machine maintenance costs were $52,000 in May and $20,000 in November. Using the high-low method, determine an estimate of total maintenance cost for a month in which production is expected to be 45,000 units. A) $45,000 B) $48,000 C) $39,000 D $40,000