Chapter 3 1. Hope Inc. uses direct labor hours as the allocation base for monthly manufacturing overhead cost. It has the following information for February Estimated overhead cost: $50,000 Estimated direct labor hours: 10,000 hours Actual direct labor hours: 11,000 Actual overhead cost: $52,000 Required: (1) What is the company's predetermined overhead rate for February? (2) Did the company over- or under-apply manufacturing overhead cost for June? (3) Based on results in the above (2), How should you adjust the amount of over- or under- applied manufacturing overhead to the cost of goods sold account in June