High-low method Angie March owns a catering company that stages banquets and parties for both individuals and companies. The business is seasonal, with hea

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High-low method Angie March owns a catering company that stages banquets and parties for both individuals and companies. The business is seasonal, with heavy demand during the summer months and year-end holidays and light demand at other times. Angie has gathered the following cost information from the past year:

Month Labor Hours Overhead Costs
January 3,500 $72,000
February 2,800 67,560
March 3,000 69,000
April 4,200 75,000
May 4,500 79,000
June 5,500 85,000
July 6,500 89,000
August 7,500 95,000
September 7,800 98,560
October 4,500 80,000
November 3,100 71,000
December 6,500 88,000
Total 59,400 $969,120

(A)

Using the high-low method, compute the overhead cost per labor hour and the fixed overhead cost per month. (Round variable cost to 2 decimal places, e.g. 52.75 and all other answers to 0 decimal places, e.g. 5,275.)

Variable cost = $ per labor hour
Fixed cost = $

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