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Please answer these questions and explain wherever possible. I will thumbs up asap. Thank you. Crosshill Company's total overhead costs at various levels of activity

image text in transcribedimage text in transcribedimage text in transcribedPlease answer these questions and explain wherever possible. I will thumbs up asap. Thank you.

Crosshill Company's total overhead costs at various levels of activity are presented below: Month April May June July Machine-Hours 73,000 63,000 83,000 93,000 Total Overhead Cost $115,000 $151,000 $379,000 $201,000 Assume that the overhead cost above consists of utilities, supervisory salaries, and maintenance. The breakdown of these costs at the 63,000-machine-hour level of activity in May is as follows: Utilities (variable) Supervisory salaries (fixed) Maintenance (mixed) Total overhead cost $ 38,000 28,000 85,000 $151,000 The company wants to break down the maintenance cost into its variable and fixed cost elements. Required: 1. Estimate how much of the $201,000 of overhead cost in July was maintenance cost. (Hint: To do this, first determine how much of the $201,000 consisted of utilities and supervisory salaries. Think about the behaviour of variable and fixed costs within the relevant range.) (Round the "Variable cost per unit" to 2 decimal places.) Maintenance cost in July $ 116,905 2. Using the high-low method, estimate a cost formula for maintenance. (Round the "Variable cost per unit" to 2 decimal places.) Machine- Hours Maintenance Cost High activity level Low activity level Change 93,000 $ 63.000 30,000 $ 116,905 85,000 31,905 $ 1.06 per MH Variable cost element Fixed cost element Y = 3. Express the company's total overhead cost in the form Y = a + bx. (Round the "Variable cost per unit" to 2 decimal places.) Variable Cost per Machine-Hour Fixed Cost Utilities cost Supervisory salaries cost Maintenance cost Total overhead cost $ 0.00 $ 0 Y = 4. What total overhead cost would you expect to be incurred at an activity level of 78,000 machine-hours? (Round the "Variable cost per unit" to 2 decimal places.) Total overhead cost

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