A Manufacturing Corporation uses a predetermined overhead rate based on direct labor hours to apply manufacturing overhead to jobs. Last year, the Corporation worked 47,000 actual direct labor hours and incurred $810,000 of actual manufacturing overhead cost. The Corporation had estimated that it would work 45,000 direct labor hours during the year and incur $765,000 of manufacturing overhead cost. What was the Corporation's overapplied or underapplied manufacturing overhead cost for the year? A. Overapplied by $34,000 B. Overapplied by $11,000 C. Underapplied by $11,000 D. Underapplied by $34,000.

1. A Manufacturing Corporation uses a predetermined overhead rate based on direct labor hours to
apply manufacturing overhead to jobs.
Last year, the Corporation worked 47,000 actual direct labor hours and incurred $810,000 of
actual manufacturing overhead cost.
The Corporation had estimated that it would work 45,000 direct labor hours during the year and
incur $765,000 of manufacturing overhead cost.
What was the Corporation's overapplied or underapplied manufacturing overhead cost for
the year?
A. Overapplied by $34,000
B. Overapplied by $11,000
C. Underapplied by $11,000
D. Underapplied by $34,000