Co. budgeted overhead at $255,000 for the period for Department A based on a budgeted volume of 100,000 direct-labor hours. At the end of the period the actual factory overhead for Department A amounted to $270,000; actual direct-labor hours were 105,000.
What was the overapplied (underapplied) overhead for the period?
$ ____________________________ (state the dollar amount as well as whether it is overapplied or underapplied)

Q&A Education