Chapter 4 - Take home exercise Chan Manufacturing uses the Normal Costing Method to compute the cost of the job. Chan uses Budgeted Manufacturing Overhead Rate to allocate manufacturing overhead costs to products. Manufacturing overhead costs are allocated on the basis of machine-hours. At the beginning of 2020, the following estimates (Budgeted amount) were provided for the year 2020: Direct labor-hours 90,000 Machine-hours 100,000 Direct labor cost $1,500,000 Manufacturing overhead costs $660,000 The accounting records of the company show the following actual data for Job #316 on March 1, 2020: Direct labor-hours 300 Machine-hours 60 Direct material cost $300 Direct labor cost $100 Requirements: 1. What is the annual budgeted manufacturing overhead cost rate for the year 2020? ($6.60 per Machine Hour) 2. What amount of manufacturing overhead costs allocate to Job #316 on March 1, 2020?(($396) 3. What are the total manufacturing costs of Job #316? 4. At the end of the year 2020 (December 31, 2020), the Actual total manufacturing overhead cost is $ 650,000, What is the over- or under-allocated manufacturing overhead for the year 2020