Answer:
d. underapplied by $ 3,000
Explanation:
Computation of predetermined overhead rate based on direct labor hours
Estimated Overhead Cost $ 330,000
Estimated Direct Labor Costs 55,000 hours
Predetermined Overhead rate ( $ 330,000/ 55,000) $ 6 per labor hour
Total applied overhead = Actual Direct Labor hours times Overhead rate
57,000 hours * $ 6 per hour $ 342,000
Actual manufacturing overhead <u>$ 345,000</u>
Under applied overhead $( 3,000)
