Fromme's Frocks Has the Following Machine Hours and Production Costs

Fromme's Frocks has the following machine hours and production costs for the last six months of last year:
$\begin{array}{lrr}&\text { Machine }\\\text {Month}&\text {Hours}&\text {Production Coption}\\\text { July } & 15,000 & \$ 12,075 \\\text { August } & 13,500 & 10,800\\\text { September } & 11,500& 9,580\\\text { October } & 15,500 & 12,080\\\text { November } & 14,800& 11,692 \\\text { December } & 12,100 & 9,922\end{array}$

If Fromme expects to incur 14,000 machine hours in January, what will be the estimated total production cost using the high-low method?

A) $8,750.00.
B) $11,142.50.
C) $22,400.00.
D) $10,889.10.

Correct Answer:

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