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*Problem 5-1A The controller of Blossom Production has collected the following monthly expense data for analyzing the cost behavior of electricity costs. Total Total Electricity Costs Machine Hours January $2,680 280 February 3,070 350 March 3,530 460 April 4,760 685 May 3,180 450 June 4,980 730 July 4,100 650 August 3,940 590 September 5,110 680 October 4,310 610 November 3,300 350 December 6,910 750 Determine the fixed- and variable-cost components using the high-low method. Fixed-costs 160 Variable-costs What electricity cost does the cost equation estimate for a level of activity of 460 machine hours? Electricity costs 4,300 By what amount does this differ from March's observed cost for 460 machine hours? Amount differ 770 What electricity cost does the cost equation estimate for a level of activity of 730 machine hours? Electricity costs 6,730 By what amount does this differ from June's observed cost for 730 machine hours? Amount differ 1,750