*** Compute the amount of underapplied or overapplied manufacturing overhead cost for the year.

I'm not sure how to calculate the applied manufacturing overhead cost.

12. The following cost data relate to the manufacturing activities of Newberry Company during the just completed year: Total actual manufacturing overhead costs incurred (including $15,000 of indirect materials) Purchases of raw materials (both direct and indirect).. S353,000 S250,000 S135,000 Inventories: S10,000 $15,000 $20,000 S35,000 ork in process, ending The company uses a predetermined overhead rate to apply manufacturing overhead cost to production. The predetermined overhead rate for the year was $15 per machine-hour. A total of 23,000 machine-hours were recorded for the year