OgheneIbrahimLtd manufactures a highly valued product which they call " Limco". The cost accounting Team leaderseeks inputs from team members on determining the fixed and variable elements of mixed factory overhead. As a student of accounting onIndustry experience assignment at OgheneIbrahim Ltd,make a formal reportto the Cost Accounting Team Leader of the company, presenting your suggestion on how this task of separating costs into fixed and variable elements can be carried out, using (a) the High-low method and (b) the method of Least squares ( present a near accurategraph showing the regression line).Show all your workings in the report, in an organised manner. Details of the units produced and mixed factory overhead for twelve months are as presented below:

4

5

6 7,500

15,000

7,500

17,500

9,000

12,500

4,500

5,000

7,000 6,250

3,900

6,000

7

8 3,600

6,250

9 3,750

10 4,000

11

12 5,500

3,000