Predetermined Overhead Rate, Overhead Variances, Journal Entries overhead for the year was $$4,953,600,$ and the practical level of activity is $387,000$ machine hours.

Work$-$in$-$process inventory

Finished goods inventory

Cost of goods sold

Required:

Compute a predetermined overhead rate for Craig. Round your answer to the nearest cent.

per machine hour

Compute the overhead variance, and label it as under$-$ or overapplied.

Assuming the overhead variance is immaterial, prepare the journal entry to dispose of the variance at the end of the year. entry, leave it blank.