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In the Putahe Manufacturing Company, at an activity level of 87,000 machine hours, total overhead costs were $232,020. Of this amount, utilities were $40,020 (all
In the Putahe Manufacturing Company, at an activity level of 87,000 machine hours, total overhead costs were $232,020. Of this amount, utilities were $40,020 (all variable) and depreciation was $69,000 (all fixed). The balance of the overhead cost consisted of maintenance cost (mixed). At 127,000 machine hours, maintenance costs were $145,000. Assume that all of the activity levels mentioned in this problem are within the relevant Do not enter dollar signs or commas in the input boxes. Bound all answers to 2 decimal places. a) The variable cost for maintenance per machine hour is: Maintenance cost for 87,000 hours: $ 123000 Variable cost for maintenance per machine hour: $ 1.41 b) The total fixed
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