Dinklemyer Corporation uses direct labor hours as its single cost driver. Actual overhead costs and actual direct labor hours for the first five months of the current year are as follows.

a. Compute the company’s estimated variable manufacturing overhead cost per direct labor hour.
b. Estimate the company’s total monthly fixed manufacturing overhead cost.
c. Estimate the company’s total manufacturing overhead for June through August if 40,000 total direct labor hours are budgeted for that specific three-month period.

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Month January February March April May Actual Total Overhead $975,000 950,000 860,000 700,000 760,000 Actual Direct Labor Hours 19,250 18,400 17,000 12,375 13,200