Hi there, please help. Please put in the excel and explain the operations with formula. Thank you.

Dubai Heavy Industries (DHI) is manufacturing company whose total manufacturing overhead costs fluctuate somewhat from year to year according to the number of machine-hours worked in its production facility. These costs at high and low levels of activity over recent years are given below:

Level of activity

Level of Activity

Low

High

Machine-hours

60,000

80,000

Total Manufacturing Overhead Costs

$274,000

$312,000

The manufacturing overhead costs above consist ofIndirect Materials,Rent, andMaintenance. The company has analyzed these costs at the 60,000 machine-hours level of activity as follows

Indirect materials (Variable)

$90,000

Rent (Fixed)

$130,000

Maintenance (Mixed)

$54,000

Total Manufacturing Overhead Costs

$274,000

For planning purposes, the company wants to break down the maintenance cost into its variable and fixed cost elements.Required:

1. Help DHI determine their cost formula/structure.
2. Whattotaloverhead costs would you expect DHI to incur at an operating level of 65,000 machine-hours?