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The following cost data relate to the manufacturing activities of Chang Company during the just completed year: Manufacturing overhead costs incurred: Indirect materials $ 15,400

The following cost data relate to the manufacturing activities of Chang Company during the just completed year:

Manufacturing overhead costs incurred:
Indirect materials $ 15,400
Indirect labor 134,000
Property taxes, factory 8,400
Utilities, factory 74,000
Depreciation, factory 191,200
Insurance, factory 10,400
Total actual manufacturing overhead costs incurred $ 433,400
Other costs incurred:
Purchases of raw materials (both direct and indirect) $ 404,000
Direct labor cost $ 64,000
Inventories:
Raw materials, beginning $ 20,400
Raw materials, ending $ 30,400
Work in process, beginning $ 40,400
Work in process, ending $ 70,400

The company uses a predetermined overhead rate to apply overhead cost to jobs. The rate for the year was $22 per machine-hour. A total of 20,100 machine-hours was recorded for the year.

Required:
1.

Compute the amount of underapplied or overapplied overhead cost for the year.

2.

Prepare a schedule of cost of goods manufactured for the year.

please explain how you got the answer.

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