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Using the highlow method, estimate a cost formula for maintenance. (Round the Variable cost per unit to 2 decimal places.) Crosshill Company's total overhead costs

Using the highlow method, estimate a cost formula for maintenance. (Round the "Variable cost per unit" to 2 decimal places.)

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Crosshill Company's total overhead costs at various levels of activity are presented below: Month April Total Overhead Cost $171,000 $155,000 $325,000 $ 214,000 Machine-Hours 62,000 52,000 72,000 82,000 May June July Assume that the overhead cost above consists of utilities, supervisory salaries, and maintenance. The breakdown of these costs at the 52,000-machine-hour level of activity in May is as follows: Utilities (variable) Supervisory salaries (fixed) Maintenance (mixed) Total overhead cost $ 35,000 21,000 99,000 $155,000 The company wants to break down the maintenance cost into its variable and fixed cost elements. 2. Using the high-low method, estimate a cost formula for maintenance. (Round the "Variable cost per unit" to 2 decimal places.) Answer is complete but not entirely correct. Machine Hours Maintenance Cost 82,000 $ 55,192 52,000 34,840 30,000 $ 20,352 High activity level Low activity level Change S 0.67 per MH Variable cost element Fixed cost element 55,629 Answer is complete but not entirely correct. $ 55,629 + $ 0.67 X Y = 4. What total overhead cost would you expect to be incurred at an activity level of 67,000 machine-hours? (Round the "Variable cost per unit" to 2 decimal places.) Answer is complete but not entirely correct. Total overhead cost $ 193,778

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