The following information pertains to Seven Dwarf Mining Equipment Limited for 2019 and 2020:

	Cost of Operating	Number of
	the Purchasing	Purchase
	Department	Orders Issued
Fourth quarter of 2019	$130,000	2,500
First quarter of 2020	80,000	1,000
Second quarter of 2020	110,000	1,500
Third quarter of 2020	115,000	2,000
Fourth quarter of 2020	140,000	3,000

Required: Using the high-low method, determine the following:

1. The variable cost per purchase order.
2. The fixed cost of operating the purchasing department for one quarter.
3. The estimated cost of operating the purchasing department in first quarter of 2021 assuming that 2,800 purchase orders will be issued.