At the beginning of the year, Custom Manufacturing set its predetermined overhead rate using the following estimates: overhead costs, $1,400,000, and direct materials costs, $500,000.At year-end, the company reports that actual overhead costs for the year are $1,409,000 and actual direct materials costs for the year are $500,000. 1. Determine the predetermined overhead rate using estimated direct materials costs 2. Enter the actual overhead costs incurred and the amount of overhead cost applied to jobs during the year using the predetermined overhead rate. Determine whether overhead is over- or underapplied (and the amount) for the year. 3. Prepare the entry to close any over- or underapplied overhead to Cost of Goods Sold. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Determine the predetermined overhead rate using estimated direct materials costs. Numerator: I 1 1 Overhead Rate Denominator: = Overhead Rate = Overhead rate = < Required 1 Required 2 > Numerator: Overhead Rate Denominator: II = Overhead Rate = Overhead rate Accounts receivable = Average raw materials inventory < Required 1 Required 2 > Cost of goods sold Estimated direct material costs Estimated overhead costs Net sales Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Enter the actual overhead costs incurred and the amount of overhead cost applied to jobs during the year using the predetermined overhead rate. Determine whether overhead is over- or underapplied (and the amount) for the year. Factory Overhead 0 < Required Actual overhead Direct labor cost Estimated overhead Applied overhead Underapplied overhead Overapplied overhead Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare the entry to close any over- or underapplied overhead to Cost of Goods Sold. View transaction list Journal entry worksheet 1 Close underapplied overhead to COGS. Note: Enter debits before credits. Date December 31 General Journal Debit Credit Accounts payable Accounts receivable Accumulated depreciation-Building Accumulated depreciation-Factory building Accumulated depreciation-Factory equipment Record ei iew general journal Building < Required 2 Required 3 >