Duggan Company applies manufacturing overhead to jobs on the basis of machine hours used. Overhead costs are expected to total $337,770 for the year, and machine usage is estimated at 125,100 hours.
- For the year, $357,866 of overhead costs are incurred and 130,900 hours are used.
- Compute the manufacturing overhead rate for the year. (Round answers to 2 decimal places, e.g. 1.25.)
- Manufacturing overhead rate: $2.70 per machine hour
- What is the amount of under- or overapplied overhead at December 31?