Glascro Company manufactures skis. The management accountant wants to calculate the fixed and variable costs associated with the leasing of machinery. Data for the past four months were collected as follows:

Month	Lease cost	Machine hours
April	$15,000	800
May	10,000	600
June	12,000	770
July	16,000	1,000

Using the high-low method, calculate the fixed cost of leasing.

a.$1,500

b.$2,500

c.$1,000

d.$2,000