Commerce Corporation has a high probability of operating at 42,000 activity hours during the upcoming period, and lower probabilities of operating at 32,000 hours and 52,000 hours. The company's flexible budget revealed the following:

	32,000 Hours				42,000 Hours				52,000 Hours
Variable costs	$	208,000			$	273,000			$	338,000
Fixed costs		860,000				860,000				860,000

Commerces flexible-budget formula, where Y is defined as total cost and AH represents activity hours, is: (Round intermediate calculations to 2 decimal places.)