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Question(s) / Instruction(s):

Acer Corporation, which applies manufacturing overhead on the basis of machine-hours, has provided the following data for its most recent year of operations.

                       

The estimates of the manufacturing overhead and of machine-hours were made at the beginning of the year for the purpose of computing the companys predetermined overhead rate for the year.

The overhead for the year was:

a)            $2,444 underapplied

b)            $2,994 underapplied

c)            $2,444 Overapplied

d)            $2,994 overapplied

 

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