Colby Limited is a manufacturing company whose total factory overhead costs fluctuate somewhat from year to year, according to the number of machine-hours worked in its production facility. These costs at high and low levels of activity over recent years are given below: Machine-hours Total factory overhead costs Level of Activity Low 82,700 $44,625,900 High 92,700 147,096,900 The factory overhead costs above consist of indirect materials, rent, and maintenance. The company has analyzed these costs at the 82,700 machine-hours level of activity as follows: Indirect materials (variable) Rent (fixed) Maintenance (mixed) Total factory overhead costs $13,645,500 20,000,000 10,981,400 $44,626,900 For planning purposes, the company wants to break down the maintenance cost into its variable and fixed cost elements Required: 1. Estimate how much of the factory overhead cost of $47,096,900 at the high level of activity consists of maintenance cost Martoriance b 2. Using the high-low method, estimate a cost formula for maintenance. 2 The factory overhead costs above consist of indirect materials, rent, and maintenance. The company has analyzed these costs at the 82.700 machine-hours level of activity as follows: Indirect materials (variable) Rent (fixed) Maintenance (mixed) 10 Total factory overhead costs $13,645,500 20,000,000 10,981,400 144,626,900 For planning purposes, the company wants to break down the maintenance cost into its variable and fixed cost elements Required: 1. Estimate how much of the factory overhead cost of $47096,900 at the high level of activity consists of maintenance cost 2. Using the high-low method, estimate a cost formula for maintenance. 3. What total overhead costs would you expect the company to incur at an operating level of 87,700 machine-hours? Taladry it cos