I only need help with C. I am confused about how I calculate the Adjustment and Adjustment ending as well as the question at the bottom that reads, "determine what portion of the month applied is in inventory at PE..." If you could explain how to get the answer that would be much appreciated, Thanks.

hours= Basis for POHR Capacity/hrs. 10,500 Budget/Hrs 9,600 basis for POHR Budgeted overhead spending $s 82,560 Actual/Hrs 9,300 8.6 Overhead Raw Ending is before over/under applied Materials Beginning Inventory $s 125,000 Total Ending Inventory $s 131,000 Overhead in inventory WIP 44,000 39.000 11,000 FG 189,000 175,000 69,840 Total 358,000 345,000 80,840 Actual Period Spending Purchased material to Raw Matls. Direct labor spending Overhead spending 175,000 18,000 89,000 Note to get addition to WIP for materials + Beginning + adds to Materials - ending materials = materials into WIP WIP additions for materials [A] What is POHR & what is over/under applied using Actual spending, actual production & budget hrs. based POHR POHR- Applied overhead = Overapplied either over OR under not both Underapplied or [B] Actual Cost of goods manufactured using budget overhead rate as POHR before applying over/under applied overhead From WIP to FG Show calculations COG Manufactured Look up the formulae; see PPT and/or excel WIP C. Based on Ending inventory Ss, inventory is to be adjusted, show adjustment to inventory for over/under applied overhead using budgeted POHR Show calculations FG adjustment only overhead Ending total 39,000 175,000 Ending Overhead 11.000 69,840 equals exactly one month of inventory combined Adjustment Adjusted Ending determine what portion of the month applied is in inventory at PE then how much is in WIP how muck in FG