The cheese department of a major food manufacturer has an overhead rate of $4.35 per direct-labor hour, based on expected variable overhead of $156,000 per year, expected fixed overhead of $409,500 per year, and expected direct-labor hours of 130,000 per year. Data for the year's operations follow: (Click on the icon to view the data.) Read the requirements. Requirement 1. What is the underapplied or overapplied overhead for each 6-month period? Label your answer as underapplied or overapplied. Begin by selecting the formula labels, and then compute the difference for the first 6 months and the last 6 months. Applied overhead costs Actual overhead costs Difference First 6 months $ 287,100 $ 6,850 293,950 273,350 Underapplied Underapplied Last 6 months $ 230,550 $ $ 42,800 Requirement 2. Explain briefly the probable causes for the underapplied or overapplied overhead. Focus on variable and fixed costs separately. Give the exact figures attributable to the causes you cite. In the first period, direct-labor hours used exceeded half of the year's total budget by | hours. This makes fixed overhead overapplied by $( - X Manufacturing-overhead budget Direct-Labor Hours Used Overhead Costs Incurred* First 6 months 66,000 $ 293,950 Last 6 months 53,000 273,350 *Fixed costs incurred were exactly equal to budgeted amounts throughout the year