Ad-on International is an advertising company. It estimated the overhead costs for March, 2014, to be $950,000 and direct labor hours to be 5,000 hours. In March, it incurred overhead costs of $1,150,000 and 5,100 labor hours. What is the overapplied or underapplied overhead for Ad-on International for March, 2014?
A) $181,000 underapplied
B) $181,000 overapplied
C) $19,000 underapplied
D) $19,000 overapplied
A
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