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O'Fallon Products Estimates Manufacturing Overhead of $400,000 for 2019 and Applies

Question 12

Multiple Choice

O'Fallon Products estimates manufacturing overhead of $400,000 for 2019 and applies overhead to units produced based on 200,000 machine hours.During 2019, O'Fallon generated 195,120 machine hours and incurred $409,752 of manufacturing overhead.For 2019, O'Fallon's under/overapplied overhead is:


A) $4,880 underapplied.
B) $9,752 underapplied.
C) $9,752 overapplied.
D) $19,512 underapplied.

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