Factory Overhead Rates, Entries, and Account Balance Eclipse Solar Company operates two factories. The company applies factory overhead to jobs on the basis of machine hours in Factory 1 and on the basis of direct labor hours in Factory 2. Estimated factory overhead costs, direct labor hours, and machine hours are as follows: Factory 1 Factory 2 $297,180 $993,300 12,900 Estimated factory overhead cost for fiscal year beginning August 1 Estimated direct labor hours for year Estimated machine hours for year Actual factory overhead costs for August Actual direct labor hours for August Actual machine hours for August 16,510 $23,800 $85,750 1,160 1,290 a. Determine the factory overhead rate for Factory 1. X per machine hour b. Determine the factory overhead rate for Factory 2. per direct labor hour Foodbao Check yo a-b. Factory 1 overhead is applied based on machine hours. Factory 2 overhead is applied based on direct labor hours.