What was the over-applied or under-applied overhead

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Question - UO-Ap Company uses a pre-determined overhead rate based on direct labor hours to apply manufacturing overhead to jobs. At the beginning of the year, the company estimated its total manufacturing overhead cost at $400.000 and its direct labour-hours at 100.000 hours. The actual overhead cost incurred during the year was $350.000 and the actual direct labour hours incurred on jobs during the ear was 90,000 hours. What was the over-applied or under-applied overhead for the year?

Reference no: EM133176069

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