1C This information will be used to answer Questions 1-3. Shooter, Inc. estimates its overhead for the upcoming year to be $2.600.000 and will use machine hours as its base to apply overhead and estimates total machine usage will be 500.000 hours and estimates direct labor hours will be 200.000 hours. Shooter makes three different models of its product - Basic, Premium and Deluxe. The company anticipates making 50.000 units of Basic, 25.000 units of Premium and 10,000 units of Deluxe. The following information relates to Direct Material and Direct Labor for each unit for each model Cost Direct Material Direct Labor Overhead Basic 6 feet @$3/foot 1.75 hours @ $13/hour 5 machine hours Premium 7 feet @ $3/foot 2.5 hours @ $13/hour 6 machine hours Deluxe 9 feet @ $3.40/foot 5 hours @ $13/hour 10 machine hours Required - Calculate the predetermined overhead rate Using the information from the previous question, - Calculate a per unit cost for Premium . At the end of the year, actual overhead in the factory was $2,500,000. actual machine hours were 495,000 and actual direct labor hours were 192,000. Calculate over or under-applied overhead and state whether it was over or under-applied. 00 $74.000 over-applied $100.000 over-applied $100,000 under-applied $4.000 under-applied none of the other answers are correct $4.000 over-applied $104.000 over-applied $104.000 under-applied O $74,000 under-applied