The XYZ Tool Manufacturing Co. shows the following factory overhead costs at various levels of direct labor hours for the last four months:

Direct Labor

Factory

Month

Hours x

Overhead y

July

2,500 hours

$ 7,000

August

1,500

5,000

September

2,000

6,000

October

3,000

8,000

9,000 hours

$26,000

Determine the monthly fixed overhead and the variable overhead rate per direct labor hour (DLH) using (a) the scattergraph method and (b)the high low method.