Huxtable Charges Manufacturing Overhead to Products by Using a Predetermined

Multiple Choice

Huxtable charges manufacturing overhead to products by using a predetermined application rate, computed on the basis of machine hours. The following data pertain to the current year:
Budgeted manufacturing overhead: $480,000
Actual manufacturing overhead: $440,000
Budgeted machine hours: 20,000
Actual machine hours: 16,000
Overhead applied to production totaled:

A) $352,000.
B) $384,000.
C) $550,000.
D) $600,000.
E) some other amount.