Month	Machine Hour	Total Overhead Cost
April	47,000	$182,640
May	37,000	$157,440
June	57,000	$207,840
July	67,000	$233,040

Nova Companys total overhead cost at various levels of activity are presented below:

Assume that the total overhead cost above consists of utilities, supervisory salaries, and maintenance. The breakdown of these costs at the 37,000 machine-hour level of activity is:

Utilities (variable)	$ 48,100
Supervisory salaries (fixed)	$ 47,000
Maintenance (mixed)	$ 62,340

Total overhead cost $ 157,440

Nova Companys management wants to break down the maintenance cost into its variable and fixed cost elements.

Required: 1. Estimate how much of the $233,040 of overhead cost in July was maintenance cost. (Hint: To do this, it may be helpful to first determine how much of the $233,040 consisted of utilities and supervisory salaries. Think about the behavior of variable and fixed costs!) (Do not round intermediate calculations.)

2. Using the high-low method, estimate a cost formula for maintenance. (Do not round your intermediate calculations. Round the "Variable cost per unit" to 2 decimal places.)

3. Express the companys total overhead cost in the linear equation form Y = a + bX. (Do not round your intermediate calculations. Round the "Variable cost per unit" to 2 decimal places.)

4. What total overhead cost would you expect to be incurred at an activity level of 42,000 machine-hours? (Do not round intermediate calculations.)