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Question 3 Not yet answered Marked out of 1.00 P Flag question Data regarding Lager Ltd.s production for the year is given below: Per unit information: $13 Direct labour Direct material Applied manufacturing overhead Unit production (budget) 27358 23422 Unit production (actual) Actual overhead costs incurred $132749 Lager Ltd.s manufacturing overhead for the year was: Select one: 0 a. over-applied by $58757 O b. Under-applied by $31205 c. Over-applied by $31 205 d. Under-applied by $58757 O
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Answer #1

Answer: option c Over applied by $31205

Manufacturing overhead applied= 23422*$7 =$163954

Actual overhead costs incurred = $132749

Manufacturing overhead over applied = $163954-$132749

= $31205

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