The Hazy Radiator Company uses a normal-costing system with a single manufacturing overhead cost pool and machine-hours as the cost-allocation base. The following data are for 2017: Compute the budgeted manufacturing overhead rate for 2017. Compute the under- or overallocated manufacturing overhead of Hazy Radiator in 2017. Dispose of this amount using the following: a. Write-off to Cost of Goods Sold b. Proration based on ending balances (before proration) in Work-in-Process Control, Finished Goods Control, and Cost of Goods Sold Proration based on the overhead allocated in 2017 (before proration) in the ending balances of Work-in-Process Control, Finished Goods Control, and Cost of Goods Sold Which method do you prefer in requirement 2? Explain. Budgeted manufacturing overhead costs 5,225,000 Overhead allocation base Machine-hours Budgeted machine-hours 95,000 Manufacturing overhead costs incurred $ 5,325,000 Actual machine-hours 100,000 Machine-hours data and the ending balances (before proration of under- or overallocated overhead) are as follows: Actual Machine-Hours 2017 End-of-Year Balance Cost of Goods Sold Finished Goods Control 75,000 18,000 Work-in-Process Control 7,000 $ 9,750,000 2,275,000 975,000