SA Homework Se Problem SA-8 (Algo) High-Low Method; Predicting Cost [LO5-10) Nova Company's total overhead cost at various levels of activity are presented below: Teat Machine Overhe Month O AU 11,000 3 154,300 10,000 3159,560 56,000 $ 210, IM 60.000 Assume that the total overhead cost above consists of utilities, supervisory salaries and maintenance The breakdown of these costs at the 38.000 machine Hour level of activity Uniti (variable) Supervisory series Fixed Haintenance (mixed) Yotal were cost 549,00 45,000 3359,00 Nova Company's management wants to break down the maintenance cost into its variable and fed cost elements Required: 1. Estimate how much of the $235 260 of overhead cost in July was maintenance cost.Hintto do this, it may be helpful to first determine how much of the $235.260 consisted of this and supervisory series. Think about the behavior of variable and fived costs) 2. Using the high-low method. estimate a cost formula for maintenance in the form Y=+bX 2. Express the company's foto overhead cost in the form YaX 4. What total overhead cost would you expect to be incurred at an activity level of 43.000 machine hours?