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Question: Please assist with the following question and show work: Karvel Corporation uses a predetermined overhead rate based on machine-hours to apply manufacturing overhead to jobs. For the month of August, Karvel estimated total manufacturing overhead costs at $300,000 and total machine-hours at 75,000 hours. Actual results for the period were manufacturing overhead costs of $290,000 and 76,000 machine hours. As a result, Karvel would have:
A. Applied more overhead to jobs than the actual amount of overhead cost for the year.
B. Applied less overhead to jobs than the actual amount of overhead cost for the year.
C. Applied an amount of overhead to jobs that was equal to the actual amount of overhead.
D. Found it necessary to recalculate the predetermined overhead rate. Please show the work to needed to get to the answer.
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