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TB MC Qu. 3-71 Boston, Inc. applies manufacturing overhead at... Boston, Inc. applies manufacturing overhead at the rate of $55 per machine hour. Budgeted machine
TB MC Qu. 3-71 Boston, Inc. applies manufacturing overhead at... Boston, Inc. applies manufacturing overhead at the rate of $55 per machine hour. Budgeted machine hours for the current period were anticipated to be 135,000; however, a lengthy strike resulted in actual machine hours being worked of only 105,000. Budgeted and actual manufacturing overhead figures for the year were $7,425,000 and $6,365,000, respectively. On the basis of this information, the company's year-end overhead was: Multiple Choice overapplied by $590,000. underapplied by $590,000. overapplied by $1,350,000. underapplied by $1,350,000. underapplied by $1,050,000
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