Cost of Goods Manufactured and Income Statement with Predetermined Overhead and Labor Cost Classifications (Loa, 4) Assume information pertaining to Callaway Golf Company for April 2014 follows. Additional information follows: Manufacturing overhead is applied to products at 85 percent of direct labor dollars. Employee base wages are $12 per hour. Employee fringe benefits amount to 40 percent of the base wage rate. They are classified as: manufacturing overhead. During April, production employees worked 5,600 hours, including 4,800 regular hours and 200 overtime hours spent working on products. There were 600 indirect labor hours. Employees an paid a 50 percent overtime premium. Any overtime premium is treated as manufacturing overhead. Required a. Prepare a statement of cost of goods manufactured and an income statement for April. b. Determine underapplied or overapplied overhead for April. c. Recompute direct labor and actual manufacturing overhead assuming employee fringe for direct labor hours am classified as direct labor