Portable Music Company $($PMC$)$ manufactures an MP$3$ player called the Music Mate $($MM$).$ The company uses standards to control its costs. The labour and variable overhead standards that have been set for one MM MP$3$ player are as follows:

Standard Hours Standard Rate per Hour Standard Cost

Direct labour $18$ minutes $ $19\mathrm{.}50$ $ $5\mathrm{.}85$

Variable overhead $18$ minutes $ $4\mathrm{.}00$ $ $1\mathrm{.}20$

Budgeted fixed overhead was estimated to be $$30,225$ per month. Fixed overhead cost is applied using direct labour$-$hours. During August, $4,100$ hours of direct labour time was recorded in the manufacture of $14,500$ units of the MM$.$ The direct labour cost totalled $$90,425$ for the month. Actual variable overhead and fixed overhead costs were $$15,580$ and $$32,000,$ respectively.

$5.$ Suppose that the static budget volume is also the normal volume and that the budgeted variable overhead cost in the static budget is $$18,600.$ Given the standard cost card data in the question, calculate the under$-$ or overapplied fixed overhead for August. $($Do not round intermediate calculations.$)$Portable Music Company $($PMC$)$ manufactures an MP$3$ player called the Music Mate $($MM$).$ The company uses

standards to control its costs. The labour and variable overhead standards that have been set for one MM MP$3$ player

are as follows:

Budgeted fixed overhead was estimated to be $$30,225$ per month. Fixed overhead cost is applied using direct labour$-$

hours. During August, $4,100$ hours of direct labour time was recorded in the manufacture of $14,500$ units of the MM$.$

The direct labour cost totalled $$90,425$ for the month. Actual variable overhead and fixed overhead costs were

$$15,580$ and $$32,000,$ respectively.