Hardigree Corporation uses a joborder costing system The fol

Hardigree Corporation uses a job-order costing system. The following data relate to the just completed month\'s operations $36,000 $207,000 Beginning balance in Work in Process Direct materials requisitioned for use in Indirect materials requisitioned for use in (1)Raw materials purchased on account (2) production $161,000 (3)production (4)Direct labor wages incurred (5) Indirect labor wages incurred (6) Depreciation recorded on factory equipment (7)Additional manufacturing overhead costs incurred $ 57,000 (8 ) Manufacturing overhead costs applied to jobs (9) Cost of jobs completed and transferred from Work $ 42,000 $ 87,000 $101,000 $ 42,000 $219,000 Process to Finished Goods $403,000 The manufacturing overhead was

Solution

Calculate following :

So answer is b) $23000 Under applied

Indirect material	42000
Indirect labour	101000
Depreciation	42000
Additional manufacturing overhead	57000
Total actual overhead	242000
Manufacturing overhead applied	219000
Under applied	23000