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Willco Inc. manufactures electronic parts. They are analyzing their monthly maintenance costs to determine the best way to budget these costs in the future. They

Willco Inc. manufactures electronic parts. They are analyzing their monthly maintenance costs to determine the best way to budget these costs in the future. They have collected the following data for the last six months:

Month Machine Hours Maintenance Costs
January 79,500 $161,000
February 106,000 195,500
March 98,000 170,400
April 96,200 181,500
May 111,300 195,000
June 92,750 155,800

Using the high-low method and the Willco data above, what is the approximate fixed cost component of the monthly maintenance costs?

$93,534
$57,488
$95,676
$76,020
$80,490

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