Problem 5: Baler Corporation which derived the following cost relationship from a regression analysis of its monthly manufacturing overhead cost: C = P 80,000 + P 12M Where: C = monthly manufacturing overhead costs; and M = machine hours The standard error in the estimate of the regression is P 6,000. The standard time required to manufacture one six-unit case of Baler's single product is 4 machine hours. Baler applies manufacturing overhead to production on the basis of machine hours and its normal annual production is 50,000 cases. Required: 1. How much would be Baler's estimated variable manufacturing overhead cost for a month if scheduled production is 5,000 cases. 2. Compute for Baler's predetermined fixed manufacturing overhead rate