A company applies overhead based on machine hours. The company has estimated overhead of $100,000 and estimated machine hours of 4,000 for the coming year. At the end of the year, actual overhead was $105,000 and actual machine hours were 3,800. For the year, overhead was A) underapplied by $5,000 B) overapplied by $10,000 C) underapplied by $10,000 D) overapplied by $5,000 A company has under-applied overhead of $60,000 for the year. At the end of the year, the company has the following account balances: Materials $400,000 inventory Work in process 180,000 inventory Finished goods 540,000 inventory Cost of goods 2,880,000 sold If the company elects to allocate the overhead to the affected accounts, by how much should the company adjust the cost of goods sold? A) Increase by $43,200 B) Increase by $60,000 C) Decrease by $18,000 If the company elects to allocate the overhead to the affected accounts, by how much should the company adjust the cost of goods sold? A) Increase by $43,200 B) Increase by $60,000 C) Decrease by $18,000 D) Increase by $48,000