The controller of Fortnight Co. has requested a quick estimate of the manufacturing supplies needed for the Cleveland Plant for the month of July, when production is expected to be 600,000 units to meet the ending inventory requirements and sales of 605,000 units. Fortnight Co.'s budget analyst has the following actual data for the last three months.
Month Production in units Manufacturing Supplies
March 515,000 $668,860
April 670,000 854,860
May 610,0005 768,510
Using the high-low method to develop a cost estimating equation, the total estimated cost of needed manufacturing supplies for July would be : (CMA adapted)