Problem 5A-8 High-Low Method; Predicting Cost (LO5-10] Nova Company's total overhead cost at various levels of activity are presented below: Total Machine- Overhead Month Hours 47,000 37,000 57,000 67,000 Cost $ 190,930 $ 167,030 $ 214,830 $ 238,730 April May June July Assume that the total overhead cost above consists of utilities, supervisory salaries, and maintenance. The breakdown of these costs at the 37,000 machine-hour level of activity is: $ 44,400 Utilities (variable) Supervisory salaries (fixed) Maintenance (mixed) 63,000 59,630 $167,030 Total overhead cost Nova Company's management wants to break down the maintenance cost into its variable and fixed cost elements. Required: 1. Estimate how much of the $238,730 of overhead cost in July was maintenance cost. (Hint: to do this, it may be helpful to first determine how much of the $238,730 consisted of utilities and supervisory salaries. Think about the behavior of variable and fixed costs.) 2. Using the high-low method, estimate a cost formula for maintenance in the form Y = a + bX. 3. Express the company's total overhead cost in the form Y = a + bX. 4. What total overhead cost would you expect to be incurred at an activity level of 42,000 machine-hours? Complete this question by entering your answers in the tabs below. Required 3 Required 1 Required 2 Required 4 Estimate how much of the $238,730 of overhead cost in July was maintenance cost. (Hint: to do this, it may be helpful to first determine how much of the $238,730 consisted of utilities and supervisory salaries. Think about the behavior of variable and fixed costs.) (Do not round intermediate calculations.) Maintenance cost in July