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[The following information applies to the questions displayed below.] Yang Manufacturing, which uses the high-low method, makes a product called Yin. The company incurs three

[The following information applies to the questions displayed below.] Yang Manufacturing, which uses the high-low method, makes a product called Yin. The company incurs three different cost types (A, B, and C) and has a relevant range of operation between 2,500 units and 4,000 units per month. Per-unit costs at two different activity levels for each cost type are presented below.

Type A Type B Type C Total
5,000 units $7 $18 $7 $32
7,500 units $7 $12 $6 $25

If Yang produces 4,000 units, the total cost would be:

$143,000.

$149,000.

$88,000.

an amount other than those given above.

$114,000.

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