Gordon Corporation is a manufacturer of steering systems on cars. See below for the cost and machine hour estimates for one steering system for the year: Direct materials Direct labor ($13/hour) Machine hours $ 210 $325 20 The steering system requires 15 hours of direct labor in Department A and 10 hours in Department B. Also, it requires 5 machine hours in Department A and 15 machine hours in Department B. Using the output as the activity, the factory overhead costs estimated in these two departments are as follows: Variable cost Fixed cost $165,000 95,000 B $ 90,000 164,000 The management team expects Gordon Corporation to produce 1,000 units during the year, Required: 1. Assume the total actual overhead base used was equal to the estimated base for the 1,000 units produced. Assume that factory overhead was applied on the basis of direct labor hours. Compute the predetermined plantwide factory overhead rate. 2. If factory overhead were applied on the basis of machine hours, what would be the plantwide overhead rate? 3. If the company produced 1,000 units during the year, what was the total amount of applied factory overhead in each department in requirements 1 and 2? 4. Please see the next page for Required 4. (Short Answer Question) 5. Compute the departmental overhead rate and amount of applied overhead for Department A using direct labor hours as the allocation base and for Department Busing machine hours as the allocation base