A business applies its overheads using direct labour hours. The information below relates to its most recent period: - Overheads: actual $640 000, budgeted $620 000 - Labour hours: actual 13 100 hours, budgeted 12 400 hours Calculate by how much the overheads were over-absorbed or under-absorbed.
- Aover-absorbed by $15 000
- Bunder-absorbed by $15 000
- Cover-absorbed by $20 000
- Dunder-absorbed by $20 000