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B Company applies operating overhead to photocopying jobs on the basis of machine hours used. It expects overhead costs to total $279,510 for the year
B Company applies operating overhead to photocopying jobs on the basis of machine hours used. It expects overhead costs to total $279,510 for the year and estimates machine usage at 121,000 hours.For the year, the company incurs $292,100 of overhead costs and uses 128,900 hours. Calculate the amount of under- or over-applied overhead at December 31.
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