60.1K

Verified Solution

Link Copied!

Please help me with numbers 2 and 3! i really appreciate it

PR 6-36 (Algo) Cest Behavior and Analysis; High-Low Method (LO 6-2, 6-5) The following selected data were taken from the accounting records of Metcalf Manufacturing. The company uses direct-labor hours as its cost driver for overhead costs. March's costs consisted of machine supplies ($200,900), depreciation ($28,500), and plant maintenance ($661,600). These costs exhibit the following respective behavior: variable, fixed, and semivariable. The manufacturing overhead figures presented in the preceding table do not include Metcalf's supervisory labor cost, which is step-fixed in nature. For volume levels of less than 15,000 hours, supervisory labor amounts to $73,500. The cost is $147,000 from 15,000 to 29,999 hours and $220,500 when activity reaches 30,000 hours or more. Required: 1. Determine the machine supplies cost and depreciation for January. 2. Using the high-low method, analyze Metcalf's plant maintenance cost and calculate the monthly fixed portion and the variable cost per direct-labor hour. 3. Assume that present cost behavior patterns continue into the iatter half of the year. Estimate the total amount of manufacturing overhcad the company can expect in November if 29,100 direct-labor hours are worked. Determine the machine supplies cost and depreciation for January. Note: Do not round your intermediate calculations. Using the high-low method, analyze Metcalf's plant maintenance cost and calculate the monthly fixed portion and the variak cost per direct-labor hour. Note: Round your "Variable cost per hour" answer to 2 decimal places. Assume that present cost behavior patterns continue into the latter half of the year. Estimate the total amount of manufacturing overhead the company can expect in November if 29,100 direct-labor hours are worked

Answer & Explanation Solved by verified expert

See Answer