Chloe Corp uses a job order costing system with manufacturing overhead applied to products on the basis of direct labor hours. For the upcoming year, Chloe Corp estimated total manufacturing overhead cost at $652,800 and total direct labor hours of 40,800. During the year actual manufacturing overhead incurred was $620,200 and 40,500 direct labor hours were used.

(a) Calculate the predetermined overhead rate. (b) Calculate how much manufacturing overhead will be applied to production. (c) Is overhead over - or underapplied? By how much? (Input the amount as positive value.) (d) What account should be adjusted for over - or underapplied overhead? Should the balance be increased or decreased?