Reference no: EM132529134

Hayden allocates (applies) overhead based on machine hours. Selected data for the most recent year follow.

Estimated manufacturing overhead cost$300,000

Actual manufacturing overhead cost$290,000

Estimated machine hours20,000

Actual machine hours22,000

• The estimates were made as of the beginning of the year, while the actual results were for the entire year.

Question 1: The manufacturing overhead for the year would have been

Option A.) $10,000 underallocated (underapplied).

Option B.) $10,000 overallocated (overapplied)

Option C.) $40,000 overallocated (overapplied).

Option D.) $40,000 underallocated (underapplied)

Option E.) More information is needed in order to answer the question