Ches Problem 15-4A Overhead allocation and adjustment using a predetermined overhead rate LO P3, P4 In December 2016, Learer Company's manager estimated next year's total direct labor cost assuming 40 persons working an average of 2,000 hours each at an average wage rate of $25 per hour. The manager also estimated the following manufacturing overhead costs for 2017 Indirect labor Factory supervision Rent on factory building Factory utilities Factory insurance expired Depreciation-Factory equipment Repairs expense Factory equipment Factory supplies used Miscellaneous production costs Total estimated overhead costs $ 327,200 149,000 148,000 96,000 78,000 515,000 68,000 76,800 44,000 $1,500,000 ces At the end of 2017, records show the company incurred $1,941,000 of actual overhead costs. It completed and sold five jobs with the following direct labor costs: Job 201, $612.000: Job 202, 5571,000: Job 203. $306,000, Job 204,5724.000, and Job 205, $322,000. In addition, Job 206 is in process at the end of 2017 and had been charged $25,000 for direct labor. No jobs were in process of the end of 2016. The company's predetermined overhead vate is based on direct labor cost, Complete this question by entering your answers in the tabs below. Req 1A Req 1B Req 1C Req 2 Determine the predetermined overhead rate for 2017. Predetermined overhead rate Choose Numerator: Choose Denominator: Estimated overhead costs 1 Predetermine overhead rate Predetermine overhead rate 0 Req 18 > Req 1A Req 1B Rei 1C Req 2 Determine the over- or underapplied overhead at year-end 2017. Factory Overhead 0 View transaction list Journal entry worksheet 1 > Record the entry to allocate any overapplied or underapplied overhead to Cost of Goods Sold at the end of year 2017. Note: Enter debits before credits General Journal Date Dec 31 Debit Credit Record entry Clear entry View general journal See Drone 5 of 5 Next