Martin Foundry uses a predetermined overhead allocation rate to allocate overhead to individual jobs, based on the machine hours required. (Click the icon to view the costs.) Read the requirements. Data Table Requirement 1. Compute Martin's predetermined overhead allocation rate. Predetermined overhead allocation rate per machine hour Cho Requirements At the beginning of 2018, the company expected to incur the following: Manufacturing overhead costs Direct labor costs Machine hours $900,000 1,550,000 75,000 hours At the end of 2018, the company had actually incurred: Direct labor costs Depreciation on manufacturing plant and equipment 1. Compute Martin's 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? Property taxes on plant Sales salaries Delivery drivers' wages Plant janitor's wages Machine hours Print Done Print Done $1,160,000 580,000 37,000 27,500 24,500 25,000 62,000 hours