Gallow Inc. is a manufacturing company whose total factory overhead costs fluctuate somewhat from month to month according to the number of machine-hours worked in its production facility. These costs for the last four months in 2016 are given below 2 Total factory overhead $ 108,900 $ 127,100 $ 98,000 $ 125,400 Machine-hours September October November December 6,500 8,500 5,000 9,000 The factory overhead costs above consist of indirect materials, rent, and maintenance. The company has analyzed these costs at the 5,000 machine-hours level of activity as follows Indirect materials (variable) Rent (fixed) Maintenance (mixed) Total factory overhead costs 3,000 35,000 98,000 Assume that all data are within the relevant range, using the high-low method how much maintenance costs would you expect the company to incur at an operating level of 7,000 machine-hours? (Round to the nearest dollars.) A $ 83,143 BS 72,500 C $ 122,943 D 118,550 E 68,550