Factory Overhead Rates. Entries, and Account Balance LU02 Homework assignment take frame Montenegro Metal 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: Estimated factory overhead cost for fiscal year beginning March 1 Estimated direct labor hours for year Estimated machine hours for year Actual factory overhead costs for March Actual direct labor hours for March Actual machine hours for March a. Determine the factory overhead rate for Factory 1. per machine hour $ 46 b. Determine the factory overhead rate for Factory 2. $ 71 Feedback Check My Work per direct labor hour Factory 1 Factory 2 $822,020 $816,500 11,500 17,870 $65,540 $70,890 1,040 1,390 c. Journalize the entries to apply factory overhead to production in each factory for March. If an amount box does not require an entry, leave it blank. Factory 1 Work in Process Factory Overhead Factory 2 Work in Process Factory Overhead