! Required information [The following information applies to the questions displayed below.] Davis Stores sells clothing in 15 stores located around the southwestern United States. The managers at Davis are considering expanding by opening new stores and are interested in estimating costs in potential new locations. They believe that costs are driven in large part by store volume measured by revenue. The following data were collected from last year's operations (revenues and costs in thousands of dollars). Store 101 Revenues Costs $4,190 $4,349 102 2,317 3,074 103 5,873 5,316 104 4,162 4,223 105 3,049 3,946 106 4,203 3,634 107 6,984 5,164 108 1,914 2,824 109 5,866 5,048 110 3,498 3,229 111 4,066 4,404 112 4,915 3,380 113 3,642 2,826 114 5,177 4,835 115 2,574 3,121 Required a. Use the high-low method to estimate the fixed and variable portions of store costs based on revenues. b. Managers estimate that one of the proposed stores will have revenues of $3.4 million. What are the estimated monthly overhead costs, assuming no inflation? c. Managers are also considering a "mega-store" with revenues of $19 million. What are the estimated monthly overhead costs, assuming no inflation?