(Please show your work and organize/structure your responses appropriately in Excel) Nifter Inc. produces specialize production equipment for specific client demands. The company applies a conventional job-order cost system using manufacturing overhead to its builds using a predetermined rate. Typically, the company sets the overhead rate at the beginning of each fiscal year. They determine this rate forecasting the upcoming year's overhead and relating it to direct labour costs. The 2020 budget was as follows: Direct labour $1,800,000 Manufacturing overhead $900,000 Regretfully, two jobs were incomplete at the end of the year; job 768B, with $113,600 of total direct labour charges, and job 819C, with $390,000 in total direct labour charges. Job 768B had 287 machine hours and job 819C had 647 machine hours. Direct materials for 768B amounted to $227,000, and for 819C amounted to $420,200. Total charges to the Manufacturing Overhead Control account for the year were $905,500, and direct labour charges made to all jobs amounted to $1,574,200, representing 248,200 direct labour hours. There were no beginning inventories. In addition to the ending work in process, ending finished goods inventory account showed a balance of $561,040. Sales for the year amounted to $6,201,300; cost of goods sold totalled $3,646,760; and general and administrative expenses were $1,854,700. The inventories and the cost of goods sold accounts have not been adjusted for over- or under- application of manufacturing overhead to production. The company usually allocates over- or under-applied overhead to inventories and cost of goods sold. Required: A. Calculate the under-or over-applied manufacturing overhead for 2020. B. Prorate the amount calculated in part (a) based on the ending balances (before prorating) of Work in Process, Finished Goods, and Cost of Goods Sold. C. Prepare an income statement for the company for the year. Nifter pays a 40% income tax rate. D. Explain how this information is relevant for decision-makers when making operational or strategic decisions for the company