Answer:

fixed cost per month=$1800

Working notes for the above answer is as under

First we need to find out the variable cost as per High low method as under

Variable cost

= High cost- low Cost / High production -Low production

=6000-3200 / 105,000- 35,000

=2800 /70,000

=0.04 per copy variable cost

Now we will find fixed cost as under

Fixed cost

=Total Cost- Variable cost

Fixed cost for month of august

=6000- (105,000*0.04)

=6000-4200

=$1800