Problem: Cosco, Inc. has accumulated the following data for the cost of maintenance on its machinery for the last four months:
Assume that the relevant range includes all of the activity levels mentioned in this problem
Assuming Cosco Company uses the high-low method of analysis, if machine hours are budgeted to be 20,000 hours then the budgeted total maintenance cost would be expected to be:
A) $25,400
B) $25,560
C) $23,700
D) $24,720