1. The Johnson Company has decided to estimate the fixed and variable components of setup costs using setup hours as the cost driver. You have collected the following data for the past 6 months. Month January February March April May June Set-up Costs $1,000 1,250 2,250 2,500 3,750 3,350 Set-up Hours 100 200 300 400 500 450 Required: Estimate the fixed and variable components of set-up costs using the high-low method. (SHOW YOUR WORK). Using the high-low answers from above predict the set-up costs for July which has 425 hours budgeted