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Nova Company’s total overhead cost at various levels of activityare presented below:MonthMachine-HoursTotalOverheadCostApril50,000$190,900May40,000$164,400June60,000$217,400July70,000$243,900Assume that the total overhead cost above consists of utilities,supervisory salaries, and maintenance. The breakdown of these costsat the 40,000 machine-hour level of activity is:Utilities (variable)$60,000Supervisory salaries(fixed)41,000Maintenance (mixed)63,400Total overhead cost$164,400Nova Company’s management wants to break down the maintenancecost into its variable and fixed cost elements.Required:1. Estimate how much of the $243,900 of overhead cost in Julywas maintenance cost. (Hint: to do this, it may be helpfulto first determine how much of the $243,900 consisted of utilitiesand supervisory salaries. Think about the behavior of variable andfixed costs.)2. Using the high-low method, estimate a cost formula formaintenance in the form Y = a + bX.3. Express the company’s total overhead cost in theform Y = a + bX.4. What total overhead cost would you expect to beincurred at an activity level of 45,000 machine-hours?