The Manufacturing Overhead (MOH) is applied at the rate of TK. 4.5 per direct labour hour. During the period direct labour hours are 40,000 and the actual Manufacturing Overhead (MOH) is TK. 195,000/-

a) State whether the Manufacturing Overhead (MOH) is over applied or under applied and compute the amount of under or over applied Manufacturing Overhead (MOH). Marks: 2

b) If the cost of goods manufactured is TK. 750,000/- that includes applied MOH, compute the cost of goods manufactured which is adjusted for under/over applied MOH. Marks: 3