Use the following information for questions 15-16: Allied Corporation bases its upcoming year. Data for the most rat recently completed year appear below: predetermined overhead rate on the estimated machine-hours for the Estimates made at the beginning of the year Estimated machine-hours Estimated variable manufacturing overhead Estimated total fuxed manufacturing overhead 62,000 S7 03 $1.486. 140 61.100 per machine-hour Actual machine-hours for the year 15. Calculate the predetermined overhead rate 16. Actual manufacturing overhead for the year was $1,799,000. What is the effect on net operating income, if the under or over applied overhead is closed to Cost of Goods Sold? Increase, decrease, or no change and by how much