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The following selected data were taken from the accounting records of Colorado Enterprises: 7 Month May June July August Machine Hours 47,000 60,400 70,000 53,000
The following selected data were taken from the accounting records of Colorado Enterprises: 7 Month May June July August Machine Hours 47,000 60,400 70,000 53,000 Manufacturing Overhead $ 899,000 1,134,000 1,295, 700 982,000 Manufacturing overhead consists of three different costs: (1) machine supplies (variable), (2) property taxes (fixed), and (3) plant maintenance (semivariable). July's overhead costs were $171,500 for machine supplies, $24.200 for property taxes, and $1,100,000 for plant maintenance. Required: A. Determine the machine supplies and property taxes for May. B. By using the high-low method, analyze Colorado's plant maintenance cost and calculate the monthly fixed portion and the variable cost per machine hour. C. Assume that present cost behavior patterns continue into future months. Estimate the total amount of manufacturing overhead the company can expect in September if 56,400 machine hours are worked. For all requirements, round intermediate rate calculations to 2 decimal places and all other intermediate calculations to the nearest whole dollar. Round your final answers for "Variable plant maintenance" to 2 decimal places and all other calculations to the nearest whole dollar. A. Machine supplies Property taxes B Plant maintenance in May
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