10 Nova Company's total overhead cost at various levels of activity are presented below: T points eBook Ask Print References Machine Total Overhead Month Apeil Hours Cost 54,000 $201,320 May 44,000 $178,020 64,000 74,000 $224,620 $247,920 June July Assume that the total overhead cost above consists of utilities, supervisory salaries, and maintenance. The breakdown of these costs at the 44,000 machine-hour level of activity is: Utilities (variable) Supervisory salaries (fixed) Maintenance (mixed) Total overhead cost $ 52,800 61,000 64,220 $178,020 Nova Company's management wants to break down the maintenance cost into its variable and fixed cost elements. Required: 1. Estimate how much of the $247,920 of overhead cost in July was maintenance cost. (Hint: to do this, it may be helpful to first determine how much of the $247.920 consisted of utilities and supervisory salaries. Think about the behavior of variable and fixed costs.) 2. Using the high-low method, estimate a cost formula for maintenance in the form Y-a+bX 3. Express the company's total overhead cost in the form Ya+bX 4. What fotal overhead cost would you expect to be incurred at an activity level of 49,000 machine-hours? D