Metal Fabricating has two departments that all goods pass through: machining and assembly. Estimated data on each department for 2020 were as follows:

1. Metal Fabricating currently allocates manufacturing overhead using machine hours. Compute the plant-wide overhead rates using machine hours.

2. Using plant-wide rate compute the amount of over-applied or under-applied manufacturing overhead for 2020.

	Machining	Assembly
Budgeted Overhead	$1,200,000	$580,000
Budgeted Direct Labour Hours	30,000	20,000
Budgeted Machine Hours	80,000	20,000
Actual Overhead	$1,210,000	$600,000
Actual Direct Labour hours	28,000	25,000
Actual Machine hours	85,000	18,000