Haley Corporation manufactures custom cabinets for kitchens. It uses a normal The following information is available as of December 31, 2017 costing system with two direct cost categories-direct materials and direct manufacturing laborand one indirect-cost pool, manufacturing overhead costs. 1. Click the icon to view the information.) provides the following information about manufacturing overhead costs for 2017 Requirement (Click the icon to view the manufacturing overhead cost information for 2017.) Calculate the underallocated or overallocated manufacturing overhead at the end of 2017 and prorate it to Work-in-Process Control, Finished Goods Control, and Cost of Goods Sold accounts based on the allocated manufacturing overhead in each account balance using normal costing Begin by calculating the budgeted indirect cost rate. Identify the formula and then calculate the rate. (Assume the cost allocation base is direct labor hours.) Budgeted manufacturing overhead costs Budgeted labor hours = Budgeted indirect cost rate $ 1,260,000 35,000 36 The manufacturing overhead allocated during the year is $ is di $ 1,260,000 35,000 hours Budgeted manufacturing overhead costs Budgeted direct manufacturing labor hours Actual manufacturing overhead costs Actual direct manufacturing labor-hours $ 1,485,000 33,000 hours