Question
The following information is available regarding the total manufacturing overhead of Bursa Mfg. Co. for a recent four-month period. Machine- HoursManufacturing OverheadJanuary6,000$310,000February3,200224,000March4,900263,800April2,900180,000 a-1. Use the
The following information is available regarding the total manufacturing overhead of Bursa Mfg. Co. for a recent four-month period.
Machine-
HoursManufacturing OverheadJanuary6,000$310,000February3,200224,000March4,900263,800April2,900180,000
a-1.Use the high-low method to determine the variable element of manufacturing overhead costs per machine-hour.(Round your answer to 2 decimal places.)
a-2.Use the high-low method to determine the fixed element of monthly overhead cost.(Round "Manufacturing overhead cost" to 2 decimal places.)
b.Bursa expects machine-hours in May to equal 5,300. Use the cost relationships determined in partato forecast May's manufacturing overhead costs.(Round "Manufacturing overhead cost" to 2 decimal places.)
c.Suppose Bursa had used the cost relationships determined in part a to estimate the total manufacturing overhead expected for the months of February and March. By what amounts would Bursa have over- or underestimated these costs?(Round "Manufacturing overhead cost" to 2 decimal places.)
answer questions
a1- Manufacturing overhead cost$_______________ Per hour
a-2 Fixed elements of monthly overhead cost_____________
b .Estimated manufacturing overhead cost$_____________
c. February Amount $___________
March Amount$ ___________
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started