Exercise #3 Agassi Company manufactures units in three different manufacturing departments. Manufacturing overhead is applied on the basis of direct labor cost in Department D, direct labor hours in Department E, and machine hours in Department K. At the end of January, the following actual cost and production data is available: Department D E K Direct materials used $140,000 $126,000 $78,000 Direct labor costs $120,000 $110,000 $37,500 Factory overhead costs $99,000 $124,000 $79,040 Direct labor hours 8,000 10,000 3,500 Machine Hours 34,000 45,000 10,400 Instructions a. Compute the actual overhead rate for each department. b. When the actual overhead rates for each department are computed for February, are they going to be the same rates as the January rates? Why or why not? nics non