Question: Gelly Corp. allocates manufacturing overhead using machine hours. Gelly estimated 12,000 machine hours and $93,000 of manufacturing overhead costs for the year.Actual machine hours were

 Gelly Corp. allocates manufacturing overhead using machine hours. Gelly estimated 12,000

Gelly Corp. allocates manufacturing overhead using machine hours. Gelly estimated 12,000 machine hours and $93,000 of manufacturing overhead costs for the year.Actual machine hours were 16,000, and the following actual costs were incurred: Direct Labor: $75,000, Period Costs: $137,000, Manufacturing Overhead: $83,000 How much is Manufacturing Overhead under- or over-allocated? A. $10,000 underallocated B. $ 10,000 overallocated C. $41,000 underallocated D. $41,000 overallocated

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