The Following Information Was Gathered for Zeba Company for the Year

Essay

The following information was gathered for Zeba Company for the year ended December 31,2014
$$\begin{array} { l c c } & \underline { \text { Budgeted } } & \text { Actual } \\\text { Direct labor-hours } & 50,000 \text { dlh } & 60,000 \text { dlh } \\\text { Factory overhead } & \$ 550,000 & \$ 600,000\end{array}$$ Assume that direct labor-hours are the cost-allocation base.
Required:
a.Compute the budgeted factory overhead rate.
b.Compute the factory overhead applied.
c.Compute the amount of over/underapplied overhead.