At the beginning of the year, Learer Company's manager estimated total direct labor cost to be $$2,520,000.$ The manager also

estimated the following overhead costs for the year.

For the year, the company incurred $$1,526,000$ of actual overhead costs. It completed and sold five jobs with the following direct labor

costs: Job $201,$ $$606,000$; Job $202,$ $$565,000$; Job $203,$ $$300,000$; Job $204,$ $$718,000$; and Job $205,$ $$316,000.$ In addition, Job $206$ is

in process at the end of the year and had been charged $$19,000$ for direct labor. No jobs were in process at the beginning of the year.

The company's predetermined overhead rate is based on a percent of direct labor cost.

Required:

$1-$a$.$ Determine the predetermined overhead rate for the year.

$1-$b$.$ Determine the overhead applied to each of the six jobs during the year.

$1-$c$.$ Determine the over$-$ or underapplied overhead at the year$-$end.

Prepare the entry to close any over$-$ or underapplied overhead to Cost of Goods Sold at year$-$end.

Complete this question by entering your answers in the tabs below.

Req $1A$

Req $1$B

Determine the predetermined overhead rate for the year.