Direct labor-hours in its predetermined overhead rate

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Cribb Corporation uses direct labor-hours in its predetermined overhead rate. At the beginning of the year, the estimated direct labor-hours were 17,900 hours and the total estimated manufacturing overhead was $341,890. At the end of the year, actual direct labor-hours for the year were 16,700 hours and the actual manufacturing overhead for the year was $336,890. Overhead at the end of the year was:

$22,920 underapplied

$17,920 overapplied

$17,920 underapplied

$22,920 overapplied

Reference no: EM13863733

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