It is budget season and Rigged Inc. is planning for next year and requires a breakdown of the factory overhead cost into the fixed and variable elements. The following data on the Overhead cost and machine hours are available for the past four months:
Month	OH Cost	Machine Hours
January	$ 28,492	2,800
February	$ 25,497	3,630
March	$ 30,256	5,670
April	$ 21,964	2,140
Total	$ 106,209	13240

Additional Sales & Cost information for Rigged Inc.
Sales Price		$ 80.60
Machine Hours Per unit		3
Direct labor cost per unit		$ 25.00
Direct Material cost per unit		$ 13.50

Required:

1. Assume that Rigged Inc. uses the high-low method of analysis, determine the variable OH cost per direct labor hour and monthly fixed cost

2 How many units do they need to sell to breakeven in one month

3. How many units do they need to sell to earn a pre-tax profit of $64,890 in one month

4. Create a contribution margin income statement for the pre-tax profit of $64,890.