Separating Mixed Costs to get the Cost Equation 1. High Low Billy Bally company built 3 houses this month and 6 houses in the prior month. Costs and activity information is as follows. Compute Billy Ball's cost formula using the high low method and the information provided. This month 9000 Direct Labor Hour Supplies (Variable) Supervisor Labor (Fixed) Depreciation (Fixed) Utilities (Mixed) Last month 20000 $20,000 $5,000 $3,000 $9,500 $9,000 $5,000 $3,000 $5,500 2. The OLS Regression Method for Separating Mixed Costs Gilligahn's Fishing an Tackle Company owns two fishing boats that are used by employees on guided fishing tours. Expenses for the boats, excluding depreciation, by month for the most recent quarter are presented below: Hours 550 Quarter July August September 500 Expenses $ 2200 2000 1000 $5.200 200 1.250 Required: Determine the cost formula using the OLS method (round to the nearest tenth of a cent)