Chapters 5,6A Homework i Saved Help Save & Exit Submit Check my work 3 Adriana Corporation manufactures football equipment. In planning for next year, the managers want to understand the relation between activity and overhead costs. Discussions with the plant supervisor suggest that overhead seems to vary with labor-hours, machine-hours, or both. The following data were collected from last year's operations: 1 points Month Labor-Hours Machine-Hours Overhead Costs 730 1, 355 $ 102, 642 715 1, 402 103, 745 SWNK 680 1, 518 109, 951 Book 4 745 1, 447 108, 276 5 780 1,593 116, 209 6 760 1,570 114, 401 7 730 1, 394 106, 958 Print 8 720 1, 306 102, 154 9 710 1,451 106, 430 10 795 1,552 113, 031 11 665 1, 292 101, 196 References 12 715 1, 612 114, 156 Required: a. Use the high-low method to estimate the fixed and variable portions of overhead costs based on machine-hours. (Round "Variable cost" answer to 2 decimal places.) Variable cost (per machine hour) Fixed cost b. Managers expect the plant to operate at a monthly average of 1,400 machine-hours next year. What are the estimated monthly overhead costs, assuming no inflation? (Round "Variable cost" answer to 2 decimal places.) Overhead costs Mc Graw Hill Ti