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Version T.O.T.ES. Case Study- LAB 4 Worksheet 4-1 Calculate fixed and varable costs for Factory Uilities using the High-Low method. EXHIBIT 4-B: Utility Expenses for Prior Year Step I: Identify months with the High and Low Activity Levels, e-g. machine-hours. Use the data from Exhibit 4-B. Utility Expenses for Prior Year Cost of Month Machine Hours Utilities High Month:arch Low Monthk Janua February March 400 S 3,315 415 $ 3,480 450 3,505 365 $ 2,972 Step 2: Calculate (round to the penny) using the high-low method. 653 $2,490 284 $ 2,895 291 $ 2,945 3101$ 2,705 June Jul 200 888 Augu September October November December 250 $ 2,617 350 $ 2,848 200 UnIT 342 $ 2,575 Step 3:Calculate fixed cost per month (Round to nearest dollar) using the cost formula and monthly data. Write the cost formula FIRST 35os (iq98 C-51507 Step 4: Calculate fixsed cost per year (round to nearest dollar). Enter on Exhibit 4-C on the appropriate Step S: Calculate the annual total variable cost using the cost formula (Round to Enter on Exhibit 4-C on the appropriate line. nval ves tola b-.tnts, of.Sals 2220, 00O 28 Version T.O.T.ES. Case Study- LAB 4 Worksheet 4-1 Calculate fixed and varable costs for Factory Uilities using the High-Low method. EXHIBIT 4-B: Utility Expenses for Prior Year Step I: Identify months with the High and Low Activity Levels, e-g. machine-hours. Use the data from Exhibit 4-B. Utility Expenses for Prior Year Cost of Month Machine Hours Utilities High Month:arch Low Monthk Janua February March 400 S 3,315 415 $ 3,480 450 3,505 365 $ 2,972 Step 2: Calculate (round to the penny) using the high-low method. 653 $2,490 284 $ 2,895 291 $ 2,945 3101$ 2,705 June Jul 200 888 Augu September October November December 250 $ 2,617 350 $ 2,848 200 UnIT 342 $ 2,575 Step 3:Calculate fixed cost per month (Round to nearest dollar) using the cost formula and monthly data. Write the cost formula FIRST 35os (iq98 C-51507 Step 4: Calculate fixsed cost per year (round to nearest dollar). Enter on Exhibit 4-C on the appropriate Step S: Calculate the annual total variable cost using the cost formula (Round to Enter on Exhibit 4-C on the appropriate line. nval ves tola b-.tnts, of.Sals 2220, 00O 28