Exercise 3-7 (Algo) Applying Overhead; Cost of Goods Manufactured [LO3-3, LO3-4] The following cost data relate to the manufacturing activities of Chang Company during the just completed year: Manufacturing overhead costs incurred: Indirect materials Indirect labor Property taxes, factory utilities, factory Depreciation, factory Insurance, factory Total actual manufacturing overhead costs incurred Other costs incurred: Purchases of raw materials (both direct and indirect) Direct labor cost Inventories: Raw materials, beginning Raw materials, ending Work in process, beginning work in process, ending $ 15,100 131,000 8,100 71,000 269,100 10,100 $504,400 $ 401,000 $ 61,000 $ 20,100 $ 30,100 $ 40,100 $ 70,100 The company uses a predetermined overhead rate of $26 per machine-hour to apply overhead cost to jobs. A total of 19,800 machine- hours were used during the year. Required: 1. Compute the amount of underapplied or overapplied overhead cost for the year. z Q Q < Prev 5 of 9 Next >