The College of Business at Northeast College is accumulating data as a first step in the preparation of next year's budget development. One cost that is being looked at closely is administrative costs as a function of student credit hours. Data on administrative costs and credit hours for the past thirteen months are shown below:

Month	Administrative Costs				Credit Hours
July		$	129,301		250
August			82,613		115
September			225,580		1,392
October			216,394		1,000
November			258,263		1,309
December			184,449		1,112
January			219,137		1,339
February			245,000		1,373
March			209,462		1,064
April			191,925		1,123
May			249,978		1,360
June			170,418		420
July			128,167		315
Total		$	2,510,687		12,172
Average		$	193,130		936

The controller's office has analyzed the data and has given you the results from the regression analysis:

SUMMARY OUTPUT
Regression Statistics
Multiple R	0.9317157
R Square	0.868094147
Adjusted R Square	0.856102705
Standard Error	20,134.92395
Observations	13

ANOVA
	df	SS	MS	F	Significance F
Regression	1	29,349,143,514	29,349,143,514	72.3928117	3.61909E-06
Residual	11	4,459,566,787	405,415,162.4
Total	12	33,808,710,301

	Coefficients	Standard Error	t Stat	P-value	Lower 95%	Upper 95%	Lower 95.0%	Upper 95.0%
Intercept	96,647.02398	12,641.66539	7.64511803	1.00291E-05	68,822.90608	124,471.1419	68,822.90608	124,471.1419
X Variable 1	103.0607697	12.11283103	8.508396541	3.61909E-06	76.40060833	129.720931	76.40060833	129.720931

If the controller uses the high-low method to estimate costs, the cost equation for administrative salaries is:

A. Cost = $96,409.42 + $103.56 Credit-hours.

B. Cost = $69,731.68 + $111.96 Credit-hours.

C. Cost = $201.21 Credit-hours.

D. Cost = $198,808.