Factory Overhead Rates, Entries, and Account Balance

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:

		Factory 1		Factory 2
Estimated factory overhead cost for fiscal
	year beginning March 1	$564,630		$825,000
Estimated direct labor hours for year				15,000
Estimated machine hours for year		19,470
Actual factory overhead costs for March		$45,180		$71,280
Actual direct labor hours for March				1,350
Actual machine hours for March		1,520

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a. Determine the factory overhead rate for Factory 1. $fill in the blank fe0fd1fe3fff07d_1 per machine hour

b. Determine the factory overhead rate for Factory 2. $fill in the blank fe0fd1fe3fff07d_2 per direct labor hour

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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	Accounts ReceivableCashFactory OverheadMaterialsWork in Process	- Select -	- Select -
	Accounts PayableAccounts ReceivableCashFactory OverheadWork in Process	- Select -	- Select -
Factory 2	Accounts PayableCashFactory OverheadMaterialsWork in Process	- Select -	- Select -
	Accounts PayableCashFactory OverheadMaterialsWork in Process	- Select -	- Select -

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d. Determine the balances of the factory overhead accounts for each factory as of March 31 and indicate whether the amounts represent overapplied factory overhead or underapplied factory overhead.

Factory 1	$fill in the blank 060a98045f9c01d_1	CreditDebit	OverappliedUnderapplied
Factory 2	$fill in the blank 060a98045f9c01d_4	CreditDebit	OverappliedUnderapplied