FREE RESPONSE SECTION (40 POINTS) 1. (8 POINTS) A publishing company makes textbooks. It believes that the machine hours of the printing press are the main cost driver for the total printing costs. It has collected the following data for the operation of the printing facility: Month: Machine Hours: Total Cost: July 625 $7.950 August 300 $7.400 - September 700 $8,275 October 550 $7,625 November 775 $9.100 December 850 $9,800 - a) Using the high-low method, what is the variable cost per machine hour? 44.56 b) What is the fixed monthly cost for the operation of the printing facility? c) What is the cost equation for the printing facility? d) In January the printing facility incurred a total of 100 machine hours. What is the expected total operating cost for the printing facility for the month of January