Answer:
Storm Concert Promotions
It was overapplied as the amount appliued exceed the actual overhead cost so we decrease the cost of good.
manufacturing overhead  3,200 debit
      COGS             3,200 credit
Valle Home Builders
It was underapplied as the amount applied was below the actual overhead cost. We must increase the cost of our good sold to recognize the extra cost.
COGS Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 1,200 debit
manufacturing Overhead    1,200 credit
Explanation:
Storm Concert Promotions
Actual indirect materials costs   22,000
Actual indirect labor costs       46,000
Other overhead costs           17,000 Â
Total overhead               85,000
Overhead applied             88,200
Overapplied overhead          3,200
Valle Home Builders        Â
Actual indirect materials costs  12,500
Actual indirect labor costs     46,500
Other overhead costs         47,000 Â
Total overhead             106,000
Overhead applied          105,200
Overhead underapplied       1,200
