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The following cost data relate to the manufacturing activities of black company during the just completed year: manufacturing overhead costs: property taxes, $3000utilities, 5000indirect 1depreciation, 24000insurance, 6000total actual manufacturing overhead 48000other cost incurred: purchases of raw 32000direct labor 4inventories: raw materials, 8000raw materials, 7000work in process, 6000work in process, 7500the company uses a predetermined overhead rate to apply overhead cost to jobs. the rate for the year was $5 per machine hour; a total of 10,000 machine hours was recorded for the year. all raw materials ultimately become direct materials-- none are classified as indirect materials. required: 1. compute the amount of underapplied or overapplied overhead cost for the year.2. prepare a schedule of cost of goods manufactured for the year.
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