Miller Corporation applies overhead at the rate of 70 percent of direct labor. Miller incurred $450,000 of direct labor during the current year. Miller incurred actual overhead of $367,000.

(a) Compute the amount of under- or overapplied overhead for Miller Corporation for the current year

(b) Prepare the necessary journal entry to dispose of the under- or overapplied overhead (assuming that the amount is immaterial).

4. Action Trainers provides a personalized training program that is popular with many companies. The number of programs offered over the last five months, and the costs of offering these programs are as follows:

 Programs Offered Costs Incurred

Jan 55 $15,400

Feb 45 14,050

Mar 60 18,000

April 50 14,700

May 75 19,000

a. Using the high-low method, compute the variable cost per program and the total fixed cost per month.

b. Using the least squares regression method, compute the variable cost per program and the total fixed cost per month.