Tower Mfg. applies overhead based on machine hours. Tower estimates it will incur \(\$ 200,000\) of total overhead costs and use 10,000 machine hours this year. During February, the Fabricating department used 425 machine hours and the Assembly department used 375 machine hours. In addition, Tower incurred actual overhead costs as follows during February: indirect materials, \(\$ 1,800\); indirect labor, \(\$ 5,700\); depreciation on factory equipment, \(\$ 8,000\); and utilities payable, \(\$ 500\).
1. Compute the predetermined overhead rate.
2. Prepare journal entries to record 

(a) Overhead applied for the Fabricating department and the Assembly department for February and 

(b) Actual overhead costs incurred during February for indirect materials, indirect labor, and other overhead.