Accounting eBook Calculating Departmental Overhead Rates and Applying Overhead to Production at the beginning of the year, Glaser Company estimated the following: Testing Assembly Department Department Total Overhead $704,000 $802,560 $1,506,560 Direct labor hours 103,500 81,765 185,265 Machine hours 87,500 74,375 161,875 Glaser uses departmental overhead rates. In the assembly department, overhead is applied on the basis of direct labor hours. In testing department, overhead is applied on the basis of machine hours. Actual data for the month of March are as follows: Testing Assembly Department Department Total Overhead $ 105,600 $120,384 $225,984 Direct labor hours 15,525 12,265 27,790 Machine hours 13,125 11,156 24,281 Required: 1. Calculate the predetermined overhead rates for the assembly and testing departments. Round your answers to the nearest cent. Assembly department overhead rate per direct labor hour Testing department overhead rate per machine hour eBook testing department, overhead is applied on the basis of machine hours. Actual data for the month of March are as follows: Assembly Testing Department Department Total Overhead $105,600 $120,384 $225,984 Direct labor hours 15,525 12,265 27,790 Machine hours 13,125 11,156 24,281 Required: 1. Calculate the predetermined overhead rates for the assembly and testing departments. Round your answers to the nearest cent. Assembly department overhead rate $ per direct labor hour Testing department overhead rate $ per machine hour 2. Calculate the overhead applied to production in each department for the month of March. If required, round your answers to nearest whole value. Assembly department $ Testing department $ 3. By how much has each department's overhead been overapplied? Underapplied? $ Assembly department Testing department