Recall that Life Fitness had estimated ($1,000,000) of MOH for the year and 62,500 DL hours, resulting

Question:

Recall that Life Fitness had estimated $$1,000,000$ of MOH for the year and 62,500 DL hours, resulting in a predetermined MOH rate of $$16/DL$ hour. By the end of the year, the company had actually incurred $$975,000$ of MOH costs and used a total of 60,000 DL hours on jobs. By how much had Life Fitness overallocated or underallocated MOH for the year?

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