31. (Underapplied or overapplied overhead) For 2001, Ainsworth Rafter Co. applied overhead to jobs using a predetermined overhead rate of $23.20 per machine hour. This rate was derived by dividing the company’s total budgeted overhead of $556,800 by the 24,000 machine hours anticipated for the year.

At the end of 2001, the company’s manufacturing overhead control account had debits totaling $562,600. Actual machine hours for the year totaled 24,900.

a. How much overhead should be debited to Work in Process Inventory for 2001?

b. Is overhead underapplied or overapplied and by how much?

c. Job #47 consumed 750 machine hours during 2001. How much overhead should be assigned to this job for the year?

d. Describe the disposition of the underapplied or overapplied overhead determined in part (b).