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I got most of the answers, just need help on the remaining ones: Nova Company's total overhead cost at various levels of activity are presented
I got most of the answers, just need help on the remaining ones:
Nova Company's total overhead cost at various levels of activity are presented below: Month Machine-Hours Total Overhead Cost $206,580 April 48,000 $179,480 May 38,000 58,000 $233,680 June 68,000 July $260,780 Assume that the total overhead cost above consists of utilities, supervisory salaries, and maintenance. The breakdown of these costs at the 38,000 machine-hour level of activity is: 60,800 Utilities (variable) Supervisory salaries (fixed) 61,000 57,680 Maintenance (mixed) $179,480 Total overhead cost 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 $260,780 of overhead cost in July was maintenance cost. (Hint: To do this, it may be helpful to first determine how much of the $260,780 consisted of utilities and supervisory salaries. Think about the behavior of variable and fixed costs!)(Do not round intermediate calculations Maintenance cost in July 90,980
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