Bell's Inc. absorbs overhead on the basis of machine hours. The overhead absorption rate is $7 per machine hour based on its budget of 85,000 hours. During the year the company incurred actual overheads of $1,241,250 and under absorbed overhead by $31,300. Calculate the overheads absorbed for the period. Oa. $1,209,950 Ob. $1,272,550 Oc. $1,241,250 Od $1,190,000