A company estimates the following manufacturing costs at the beginning of the period: direct labor, $548,000; direct materials, $175,000; and factory overhead, $133,000. Required: 1. Compute its predetermined overhead rate as a percent of direct labor. 2. Compute its predetermined overhead rate as a percent of direct materials.

At the beginning of the year, a company estimates total overhead costs of $596,400. The company applies overhead using machine hours and estimates it will use 1,420 machine hours during the year. What amount of overhead should be applied to Job 65A if that job uses 15 machine hours that year?