Allocating and adjusting manufacturing overhead Brooks Foundry uses a predetermined overhead allocation rate to allocate overhead to individual jobs, based on the machine hours required. At the beginning of 2022, the company expected to incur the following: Manufacturing overhead cost $ 840,000 Direct labor costs 1,550,000 Machine hours 70,000 hours $ 1,160,000 600 At the end of 2021, the company had actually incurred: Direct labor cost Depreciation on manufacturing plant and equipment Property taxes on plant Sales salaries Delivery drivers' wages Plant janitor's wages Machine hours 40 26.5 23.5 17 67,000 hours Requirements 1. Compute Brooks' predetermined overhead allocation rate. 2. Prepare the journal entry to allocate manufacturing overhead. 3. Post the manufacturing overhead transactions to the Manufacturing Overhead T-account. Is manufacturing overhead underallocated or overallocated? By how much? 4. Prepare the journal entry to adjust for the underallocated or overallocated manufacturing overhead. Does your entry increase or decrease cost of goods sold