Luzadis Comparty makes furniture using the latest automated technology The company uses a job-order costing system and applies manufacturing overhead cost to products on the basis of machine-hours. The predetermined overhead rate was based on a cost formula that estimates $612.000 of total manufacturing overhead for an estimated activity fevel of 68,000 machine houis During the year, a large quantity of furniture on the market resuted in cutting back production and a buildup of furniture in the company's warehouse. The company's cost tecords revealed the following octual cost and operating data for the year Required: 1. Compute the underapplied or overapplied overhead. 2. Assume that the company closes any underapplied or overapplied overhead to Cost of Goods Sold. Prepare the appropr ate journal entry 3. Assume that the company allocates any underapplied or overapplied overhead proportionally to Work in Process, Finished Goods, and Cost of Goods Sold. Prepare the appropriate journal entry. 4. How much higher or lower will net operating income be if the underapplied or overapplied overhead is allocared to Work in Process. Finished Goods, and Cost of Goods Sold rather than being closed to Cost of Goods Sold? Complete this question by stetering your answers in the tabs thelow. Compute the underapplied or overapplied overtiead. Complete this question by entering your answers in the tabs below. Assume that the company closes any underapplied or overapplied overhead to Cost of Goods Soyd. Propare the appropeate journal entry. Peccord the allocakion of the underappiedioverapplied overhead to varlout acrounts Finished Goods, and Cost of Goods Sold father than being ciosed to Cost of Goods Sold? Complete this question by entering your answers in the tabs below. How much higher or loner will net operatipo income be if the underapplied or everapplied overhead is allocatod to Work int Procest, Finvhed Goods, and Cost of Goods Sold rather than theing closed to Cost of Goods Sold