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(Solved) (Latest ver. Aug 2020) - Overhead overapplied or underapplied

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21. Eaker Company uses activity-based costing to compute product costs for external reports. The company has three activity centers and applies overhead using predetermined overhead rates for each activity center. Estimated costs and activities for the current year are presented below for the three activity centers:
Batc Setup
Material handling
General factory

Actual costs and activities for the current year were as follows:

Required:
(a.) How much total overhead was applied to products during the year?
(b.) By how much was overhead overapplied or underapplied? (Be sure to clearly label your answer as to whether the overhead was overapplied or underapplied.)

 







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