SOLVE:

Golden Company's total overhead cost at various levels of activity are presented below: Assume that the overhead cost above consists of utilities, supervisory salaries, and maintenance. The breakdown of these costs at the 41,000 machine-hour level of activity is as follows: The company wants to break down the maintenance cost into its variable and fixed cost elements. Required: Estimate how much of the $255,080 of overhead cost in June was maintenance cost. (Hint: To do this, it may be helpful to first determine how much of the $255,080 consisted of utilities and supervisory salaries. Think about the behavior of variable and fixed costs within the relevant range.) (Do not round intermediate calculations. Omit the "$" sign in your response.) Using the high-low method, estimate a cost formula for maintenance. (Round the "Variable cost per unit" to 2 decimal places and "Fixed cost" to the nearest dollar amount. Omit the "$" sign in your response.) Express the company's total overhead cost in the form Y = a + bX. (Round the "Variable cost per unit" to 2 decimal places and "Fixed cost" to the nearest dollar amount. Omit the "$" sign in your response.) What total overhead cost would you expect to be incurred at an activity level of 46,000 machine-hours? (Do not round intermediate calculations. Omit the "$" sign in your response.)