The following cost data relate to the manufacturing activities of the Kamas Company during the most recent year:

Manufacturing overhead costs incurred during the year:

Property taxes $$2,600$

Utilities, factory $3,000$

Indirect labour $6,400$

Depreciation, factory $15,000$

Insurance, factory $3,000$

Total actual costs $$30,000$

Other costs incurred during the year:

Purchases of raw materials $$20,000$

Direct labour cost $20,000$

Inventories:

Raw materials, beginning $$7,000$

Raw materials, ending $4,260$

Work in process, beginning $3,900$

Work in process, ending $5,000$

The company uses a predetermined overhead rate to charge overhead cost to production. The rate for the year just completed was $$4\mathrm{.}00$ per machine hour; a total of $6,000$ machine hours were recorded for the year.

Required:

a$.$ Compute the amount of under$-$ or overapplied overhead cost for the year just ended.

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