Budgeted manufacturing overhead rate, allocated manufacturing overhead. Gammaro Comp...

Budgeted manufacturing overhead rate, allocated manufacturing overhead. Gammaro Company uses normal costing. It allocates manufacturing overhead costs using a budgeted rate per machine-hour. The following data are available for 2014:

1. Calculate the budgeted manufacturing overhead rate. 2. Calculate the manufacturing overhead allocated during 2014. 3. Calculate the amount of under- or overall located manufacturing overhead. Why do Gammaro’s managers need to calculate this amount?