Kareem Corporation is a service company that measures its output by the number of customers served. The company has provided the following fixed and variable cost estimates that it uses for budgeting purposes and the actual results of operations for December.

Fixed Element per Variable Element per Customer Actual Total Month for December Served Revenue $5,400 $126,800 Employee salaries and wages $44,500 $1,300 $73,400 Travel expenses $600 $13,400 Other expenses $41,900 $42,700