Reference no: EM132632056
Problem 1: Based on the data below, what is the amount of the overhead under-/over-absorbed?
Budgeted overheads $493,200
Budgeted machine hours 10,960
Actual machine hours 10,493
Actual overheads $514,157
Option A. $20,957 under-absorbed
Option B. $21,015 over-absorbed
Option C. $21,015 under-absorbed
Option D. $41,972 under-absorbed