Applying Overhead with Various Cost Drivers P 2-B Estimated cost and operating data for three companies for the upcoming year are given below Company Direct labor hours Machine hours 60,000 40,000 30,000 90,000 $ 300,000 $160,000 432,000270,000 18,000 240,000 384,000 25,000 Raw materials cost Manufacturing overhead cost Predetermined overhead rates are computed using the following cost drivers in the three companies Overhead Rate Based on Direct labor hours Machine hours Raw materials cost Reguired: 1) Compute the predetermined overhead rate to be used at each company 2) Assume that Company A works a total of 60,000 labor hours this year. How much will their overhead applied amount to? If actual costs are S430,000, for the year, will overhead be over or under applied? By how much? P2-C Calculating Over or Under Applied Overhead Cashew Company uses a predetermined overhead rate based on direct labor hours to apply manufacturing overhead to jobs Estimates at January 1: Direct Labor Hours Manufacturing Overhead 120,000 3,000,000 Actual resuls at year end: Direct Labor Hours 130,000 $3,361,000 Manufacturing Overhead Calculate: 1) Predetermined overhead rate, 2) Overhead applied, and 3) the amount of over or under applied overhead (label your answer as over or under)