MC question

Monday Company applies overhead on the basis of machine hours. Given the following data, compute the estimated annual overhead cost and actual overhead cost for the period:

Estimated machine hours 400,000

Actual machine hours 390,000

Applied overhead cost $780,000

Overhead cost underapplied $7,500

Select one:

a.$800,000 and $772,500

b.$780,000 and $787,500

c.$780,000 and $772,500

d.$800,000 and $787,500