Moody Corporation uses a job-order costing system with a plantwide overhead rate based on machine-hours. At the beginning of the year, the company made the following estimates: Machine-hours required to support estimated production 450,000 Fixed manufacturing overhead cost $800,000 Variable manufacturing overhead cost per machine-hour $2.50 Required:

1. Compute the predetermined overhead rate.

2. During the year, Job 400 was started and completed. The following information was available with respect to this job: Direct materials requisitioned $450 Direct labor cost $210 Machine-hours used 40 Compute the total manufacturing cost assigned to Job 400

3. During the year the company worked a total of 186,000 machine-hours on all jobs and incurred actual manufacturing overhead cost of $1,550,000. What is the amount of underapplied or overapplied overhead for the year? If this amount were closed out entirely to Cost of Goods Sold would the