Calculating Departmental Overhead Rates and Applying Overhead to Production At the beginning of the year, Glaser Company estimated the following: Assembly Department Testing Department Total Overhead $473,000 $420,970 $893,970 Direct labor hours 132,500 119,250 251,750 Machine hours 78,000 89,700 167,700 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: Assembly Testing Department Department Total Overhead $42,570 $37,887 $80,457 Direct labor hours 11,925 10,733 22,658 Machine hours 7,020 8,073 15,093 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