indirect Labor: $1,550$

Indirect Materials: $200$

Depreciation on factory equipment: $650$

Factory Utilities: $450$

Rent on office building $2050$

Factory supplies: $550$ Direct Materials: $2,050$

Direct Labor $(500$ hours @ $$10/$hr$.)$: $5,000$

Office supplies: $150$ Overhead is allocated based on a rate of $$5$ per direct labor hour $1.$ Is the balance in the Manufacturing Overhead account over or under$-$allocated?

$2.$ Make a journal entry to correct the Manufacturing Overhead control account due to the re allocation.