Skelly, Inc., has provided the following actual cost data for your use in determining variable factory overhead costs and fixed factory overhead costs for budgeting purposes:

Required:
Determine an overall variable factory overhead rate per machine-hour and total fixed factory overhead using the high-low method, assuming management believes no other major factors affect cost behavior.

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Three Quarters Ago Two Quarters Ago One Quarter Ago Machine-hours Direct material 70,000 80,000 100,000 $147,000 $168,000 $ 210,000 Direct labor 350,000 400,000 500,000 Factory insurance 8,000 9,000 11,000 Indirect labor 14,200 15,800 19,000 Factory inspection costs. 10,300 11,200 13,000 Indirect material. 4,000 5,100 5,500 Factory utilities.. 10,000 11,800 14,200 Salespersons' salaries 190,000 210,500 250,000 Advertising... 56,000 64,000 80,000 Executive salaries 90,000 90,000 90,000 Total.... $879,500 $985,400 $1,192,700