Cool Box Incorporated needs to prepare pro forma financial statements for the next fiscal year. To do so, the company must forecast its total overhead cost. The actual machine hours and total overhead cost are presented below for the past six months. Month Total Overhead Machine Hours January $ 9,020 2,320 February8,570 2,270 March 9,180 2,470 April 9,750 2,940 May 10,410 3,060June 8,470 2,260 Using the high-low method, total monthly fixed overhead cost is calculated to be:

Multiple Choice

a. $2,989.50

b. $3,357.20

c. $3,556.30

d. $3,769.70

e. $3,860.80

Answer rating: 100% (QA)

Variable cost per unit under high low method Total cost at highest level total co... View the full answer