A Company produces a single product and has a manufacturing capacity of up to 10,000 units per year. Production cost data for ABC's last two months of operation were as follows:

	November	December
Production in units:	5,000	9,000
Production costs incurred:	$22,000	$34,000

Using the high-low method, calculate ABC's monthly fixed costs.

Select one:

a. $5,000

b. $9,000

c. $7,000

d. Cannot be determined