Calculating Departmental Overhead Rates and Applying Overhead to Production At the beginning of the year, Glaser Company estimated the following: Glaser uses departmental overhead rates. In the assembly department, overhead is applied on the basis of direct labor hours. In the testing department, overhead is applied on the basis of machine hours. Actual data for the month of March are as follows: Required: 1. Calculate the predetermined overhead rates for the assembly and testing departments. Round your answers to the nearest cent. 2. Calculate the overhead applied to production in each department for the month of March. If required, round your answers to nearest whole value. 3. By how much has each department's overhead been overapplied? Enter the amount and then select either "Overapplied" or "Underapplied". If applicable, enter overapplied amounts beginning with a minus (-) sign. Feedtssck T Check My Vark 1. Predetermined overhead rate equals the estimated overhead costs divided by the estimated activity level. Find the overhead rate for each department. 2. Multiply overhead rate in each department by the department's driver or activity. 3. Compare applied overhead to actual overhead costs incurred to determine underlover applied overhead