1. Consider the following selected cost data for the Clypton Company for 2019.

Budgeted manufacturing overhead costs $1,500,000

Budgeted machine-hours 150,000

Actual manufacturing overhead costs $1,300,000

Actual machine-hours 125,000

The company uses normal costing. Its job-costing system has a single manufacturing overhead cost pool. Costs are allocated to jobs using a budgeted machine-hour rate. Any amount of under- or overallocation is written off to Cost of Goods Sold.

1. Compute the budgeted manufacturing overhead rate.
2. Calculate the manufacturing overhead allocated during 2019.
3. Compute the amount of under- or overallocation of manufacturing overhead. Is the amount material? Prepare a journal entry to dispose of this amount.