Cadbury Company uses a job order costing system. Manufacturing overhead is applied on the basis of direct labor cost. Total manufacturing overhead was estimated to be $144,020 for the year; direct labor was estimated to total $151,600.

	(1/1)			(12/31)
Raw Materials Inventory	$	14,400		$	9,900
Work in Process Inventory	$	19,300		$	22,100
Finished Goods Inventory	$	42,400		$	30,600

The following transactions have occurred during the year.

Raw materials purchases	$	110,000
Direct materials used	$	103,100
Direct labor	$	127,500
Indirect materials used	$	11,400
Indirect labor	$	16,100
Factory equipment depreciation	$	26,600
Factory rent	$	21,300
Factory utilities	$	8,600
Other factory costs	$	7,600

a) Calculate the predetermined overhead rate

Predetermined Overhead Rate

%

(b) Calculate cost of goods manufactured.

Cost of Goods Manufactured

c) Calculate the over- or underapplied overhead. (Input the amount as positive value.)

(d) Calculate adjusted cost of goods sold

Adjusted Cost of Goods Sold