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The following information is related to manufacturing overhead costs. MOH cost pool includes depreciation (fixed, 14000 dollars per month), indirect material (variable, 300 dollars per
The following information is related to manufacturing overhead costs. MOH cost pool includes depreciation (fixed, 14000 dollars per month), indirect material (variable, 300 dollars per unit) and supervision (semi-variable). During the last six months, the highest activity level was in January (150 units produced) and total MOHcost was $135000. The lowest activity level was in May (86 units produced) and total MOH cost was $83800. a.) Write the cost formula of supervision (use the high-low method). b.) Estimate Total MOH for July ( 90 units produced) by using the data of the year's first six months. The following information is related to manufacturing overhead costs. MOH cost pool includes depreciation (fixed, 14000 dollars per month), indirect material (variable, 300 dollars per unit) and supervision (semi-variable). During the last six months, the highest activity level was in January (150 units produced) and total MOHcost was $135000. The lowest activity level was in May (86 units produced) and total MOH cost was $83800. a.) Write the cost formula of supervision (use the high-low method). b.) Estimate Total MOH for July ( 90 units produced) by using the data of the year's first six months
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