The Following Cost Data Relate to the Manufacturing Activities of Falco

The following cost data relate to the manufacturing activities of Falco Industries during the just completed year:
$\begin{array}{|l|l|}\hline \text { Total actual manufacturing overhead costs } & \\\text { incurred (including } \$ 15,000 \text { of indirect } & \\\text { materials) } & \$ 353,000 \\\text { Purchases of raw materials (both direct and } & \$ 250,000 \\\text { indirect) } & \\\hline \text { Direct labor cost } & \$ 135,000 \\\hline \text { Inventories: } & \\\hline \text { Raw materials, beginning } & \$ 10,000 \\\hline \text { Raw materials, ending } & \$ 15,000 \\\hline \text { Work-in-Process, beginning } & \$ 20,000 \\\hline \text { Work-in-Proc ess, ending } & \$ 35,000 \\\hline\end{array}$
The company uses a predetermined overhead rate to apply manufacturing overhead cost to production.The predetermined overhead rate for the year was $15 per machine-hour.A total of 23,000 machine-hours were recorded for the year.
Required:
a.Compute the amount of underapplied or overapplied overhead cost for the year.b.Prepare a Schedule of Cost of Goods Manufactured for the year.