Instructions 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 $1,516,700 Factory 2 $1,074,600 29,850 52,300 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 $124880 $98.910 2,700 4,350 Required: a. Determine the factory overhead rate for Factory 1. b. Determine the factory overhead rate for Factory 2 c. Journalize the Aug 31 entries to apply factory overhead to production in each factory Refer to the chart of accounts for the exact wording of the account is CNOW journals do not use Wnes for spaces or journal explanations. Every ine on a journal page is used for debitor credit entries. Do not add explanations or skip a ine bowen Journal otros. CNOW joumat will automaticwy indent a credit anty when a credit amount is entered d. Determine the balances of the factory overhead accounts for each factory as of August 31, and indicate whether the amounts represent Overlied factory overhead or under led factory overhead Enter all arounts as positive numbers Factory Overhead Rates a. Determine the factory overhead rate for Factory 1. $ per machine hour b. Determine the factory overhead rate for Factory 2. $ per direct labor hour TER Journal c. Journalize the Aug. 31 entry to apply factory overhead to production in Factory 1. Refer to the chart of accounts for the exact wording of the account titles. CNOW journals do not use lines for spaces or journal explanations. Every line on a journal page is used for debitor credit entries. Do not add explanations or skip a line between journal entries. CNOW journals will automatically indent a credil entry when a credit amount is entered. Scroll down to record the entry for Factory 2. PAGE 10 JOURNAL ACCOUNTING EQUATION DATE DESCRIPTION POST. REF DENT CREDIT 1 ASSETS LIABILITIES CQUITY 2 Now jumate the second Aug 31 entry to apply factory overhead to production in Factory 2. Refer to the chart of accounts for the exact wording of the account illos CNOWjournals do not use lines for spaces or journal explanations. Every ine on a journal page is used for debitor credit entries. Do not add explanations or sklo a line between journal entries. CNOW journals we automatically indent a credit entry when a credit amount is entered d. Determine the balances of the factory overhead accounts for each factory as of August 31, and indicate whether the amounts represent overapplied factory overhead or underlied factory overhead Enter all amounts as positive numbers. Factory 1 Factory 2 S
