Bill Braddock is considering opening a Fast n Clean Car Service Center. He estimates that the following costs will be incurred during his first year of operations: Rent $9,200, Depreciation on equipment $7,000, Wages $16,400, Motor oil $2.00 per quart. He estimates that each oil change will require 5 quarts of oil. Oil filters will cost $3.00 each. He must also pay The Fast n Clean Corporation a franchise fee of $1.10 per oil change, since he will operate the business as a franchise. In addition, utility costs are expected to behave in relation to the number of oil changes as follows:

Number of Oil Changes	Utility Costs
4,000	$6,000
6,000	$7,300
9,000	$9,600
12,000	$12,600
14,000	$15,000

Bill Braddock anticipates that he can provide the oil change service with a filter at $25 each.

(a)Using the high-low method, determine variable costs per unit and total fixed costs.

Variable cost $

per unit Fixed cost$