BACK CALCULATOR PRINTER VERSION Question 1 Agassi Company uses a job order cost system in each of its three manufacturing dep partments. Manufacturing overhead is applied to jobs on the basis of direct labor cost in Department D, direct labor hours in Department E, and machine hours in Department K In establishing the predetermined overhead rates for 2017, the following estimates were made for the year. Department Manufacturing overhead Direct labor costs Direct labor hours Machine hours $777,000 1,500,000 $900,000 $1,110,000 $1 0,000 $450,000 40,000 500,000 120,000 100,000 400,000 125,000 During January, the job cost sheets showed the following costs and production data. Department Direct materials used Direct labor costs Manufacturing overhead incurred Direct labor hours Machine hours $140,000 $126,000 $78,000 $120,000 $110,000 $37,500 $99,000 $124,000 $79,000 11,000 3,500 34,000 45,000 10,410 Study 8,000 Compute the predetermined overhead rate for each department. (Round Overhead rate Department D Department E Department K 0.7 % 12 per direct labor hour 7.50 per machine hour