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The Lakeshore Hotel's occupancy-days and custodial supplies expense over the last seven months were as follows: MonthOccupancyDaysCustodial Supplies Expense March18,300$16,700 April12,740$17,250 May15,360$19,000 June29,400$23,350 July25,800$26,000 August18,000$20,750

The Lakeshore Hotel's occupancy-days and custodial supplies expense over the last seven months were as follows:

MonthOccupancyDaysCustodial Supplies Expense

March18,300$16,700

April12,740$17,250

May15,360$19,000

June29,400$23,350

July25,800$26,000

August18,000$20,750

September15,100$20,000

Occupancy-days are a measure of the overall activity at the hotel. For example, when a guest stays at the hotel for three days, it is counted as three occupancy-days. Using the High-Low Method, what is the variable cost portion of the cost equation going to be?

A) $0.366

B) $0.558

C) $1.240

D) $0.813

E) $0.599

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