Oki Products, LTD., has observed the following processing costs at various levels of activity over last 15 months:

Month	Units Produced	Processing Cost
1	4,500	$38,000
2	11,000	$52,000
3	12,000	$56,000
4	5,500	$40,000
5	9,000	$47,000
6	10,500	$52,000
7	7,500	$44,000
8	5,000	$41,000
9	11,500	$52,000
10	6,000	$43,000
11	8,500	$48,000
12	10,000	$50,000
13	6,500	$44,000
14	9,500	$48,000
15	8,000	$46,000

Use the company