6: Data Table 1,368,000 38,000 hours Budgeted manufacturing overhead costs Budgeted direct manufacturing labor hours Actual manufacturing overhead costs Actual direct manufacturing labor-hours 1,305,000 29,000 hours 7: Data Table Account Balance Account (Before Proration) Manufacturing Overhead in Each Account Balance Allocated in the Current Year (Before Proration) 38,304 84,816 1,244,880 41,000 Work-in-process control Finished goods control $ 58,000 2,200,000 $ Cost of goods sold 2,299,000 1,368,000 3. Clara Corporation manufactures custom cabinets for kitchens. It uses a normal costing system with two direct cost categories-direct materials and direct manufacturing laborand one indirect-cost pool, manufacturing overhead costs. It provides the following information about manufacturing overhead costs for 2017 (Click the icon to view the manufacturing overhead cost information for 2017.) The following information is available as of December 31, 2017 (Click the icon to view the information.) Requirement Calculate the underallocated or overallocated manufacturing overhead at the end of 2017 and prorate it to Work-in-Process Control, Finished Goods Control, and Cost of Goods Sold accounts based on the allocated manufacturing overhead in each account balance using normal costing, Begin by calculating the budgeted indirect cost rate. Identify the formula and then calculate the rate. (Assume the cost allocation base is direct labor hours.) (2) = Budgeted indirect cost rate The manufacturing overhead allocated during the year is $ Identify the formula and calculate the underallocated or overallocated manufacturing overhead. (Use parentheses or a minus sign to report overhead overallocated.) Underallocated (overallocated) (3) (4) Indirect costs Finally, prorate the underallocated or overallocated manufacturing overhead to Work-in-Process Control, Finished Goods Control, and Cost of Goods Sold accounts based on the allocated manufacturing overhead in each account balance using normal costing. (Enter percentages to one decimal point, XX%. Abbreviations used: MOH = manufacturing overhead) Account Manufacturing Overhead in Each MOH Account Balance (Before Account Balance Allocated in the as a Percent Proration Balance (After) Account Proration) Current Year (Before Proration) of Total Amount Proration) Work-in-process controls 41,000 38,304 % Finished goods controls 58,000 $ 84,816 Cost of goods sold $ 2,200,000 $ 1,244,880 % $ 2,299,000 $ 1,368,000 % $