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Use the information below to answer the following two questions: Melville Ine, is a manufacturing company whose total manufacturing overhead (MOH) costs fluctuate somewhat from

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Use the information below to answer the following two questions: Melville Ine, is a manufacturing company whose total manufacturing overhead (MOH) costs fluctuate somewhat from month to month according to the number of machine-hours worked in its production facility. These costs for the last four months are given below. The manufacturing overhead costs above consist of rent, indirect materials, and utilities. The company has analyzed these costs at the 5,000 machine-hours level of activity as follows: 5 Melville expects that it will work for 6,000 machine-hours in February. Using the high-low method, how much is the estimased utilities cost in February? (Round to the nearest dollars.) A. $28,000 B. $27,400 C. $10,600 D. $10,500 E. None of the above

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