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Month July OH Cost Machine Hours August September October November December Total SSSSSSSA $ 30,600 3,000 $ 25,750 2,030 $ 32,900 3,460 $ 31,100

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Month July OH Cost Machine Hours August September October November December Total SSSSSSSA $ 30,600 3,000 $ 25,750 2,030 $ 32,900 3,460 $ 31,100 3,100 $ 28,950 2,670 $ 27,400 2,360 $ 176,700 16,620 Required: 1. Assume that Eliot uses the high-low method of analysis, determine the variable OH cost per direct labor hour and monthly fixed cost Additional Sales & Cost information for Eliot's Sales Price $ 35.10 Machine Hours Per unit 0.40 Direct labor cost per unit $ 8.00 Direct Material cost per unit $ 5.60 2. How many units do they need to sell to breakeven 3. How many units do they need to sell to earn a pre-tax profit of $97,500 in one month 4. Create a contribution margin income statement for the pre-tax profit of $97,500

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