ABC Corporation applies overhead based upon machine hours. Budgeted factory overhead was $266,400 and budgeted machine-hours were 18.500 Actual factory overhead was $287.920 and actual machine-hours were 19.050. Before disposition of under/overapplied overhead, the cost of goods sold was $560,000 and ending inventories were as follows: Direct materials $ 60,000 WIP 190,000 Finished goods 250.000 3.500.000 Total Compute the over/underapplied overhead and determine whether WIP endiru balance is overtate or understated before adjustment 521 520 and WIP overstated 513.000 and WPowerstated $21.500 and WIP understated 513 600 and WIP understated