Waterway Industries applies overhead on the basis of machine hours. Given the following data, compute overhead applied and the under- or overapplication of overhead for the period: $3022500 applied and $47500 overapplied $3022500 applied and $47500 underapplied $3100000 applied and $47500 overapplied $3070000 applied and neither under- nor overapplied The Raw Materials Imventory account is increased for purchase discounts taken. increased for purchase returns and allowances. a subsidiary account. increased for invoice costs and freight costs chargeable to the purchaser. The two major steps in the flow of costs are accumulating and assigning. accumulating and amortizing. allocating and assigning. acquiring and accumulating. The two basic types of cost accounting systems are process cost and batch systems. job order and process cost systems. job order and job accumulation systems. job order and batch systems. Factory labor costs include vacation pay. do not include pension costs. are based on workers' net pay. are accumulated in a control account. Process costing is not used when similar goods are being produced. a series of connected manufacturing processes is necessary. jobs have distinguishing characteristics. large volumes are produced