PROBLEM 5-22 Applying Overhead; Underapplied or Overapplied Overhead; Income Statement LO4, LO5, LO6] Hudson Company uses a job-order costing system. The following transactions took place last year: Raw materials were requisitioned for use in production, S38000 (85% direct and 15% indirect. b. Factory utility costs incurred, $19,100 c. Depreciation was recorded on plant and equipment, $36,000. Three-fourths of the depreciation related to factory equipment, and the remainder related to selling and administrative equipment. d. Advertising expense incurred, $48,000 e. Costs for salaries and wages were incurred as follows: Direct labor $45,000 Administrative salaries $30,000 PROBLEM 5-22 Applying Overhead; Underapplied or Overapplied Overhead; Income Statement LO4, LO5, LO6] Hudson Company uses a job-order costing system. The following transactions took place last year: Raw materials were requisitioned for use in production, S38000 (85% direct and 15% indirect. b. Factory utility costs incurred, $19,100 c. Depreciation was recorded on plant and equipment, $36,000. Three-fourths of the depreciation related to factory equipment, and the remainder related to selling and administrative equipment. d. Advertising expense incurred, $48,000 e. Costs for salaries and wages were incurred as follows: Direct labor $45,000 Administrative salaries $30,000