Mackenzie Company has decided to use a predetermined rate to assign factory overhead to production. The following predictions have been made for 2018 Estimate total factory overhead costs $240,000 20,000 DLH 60,000 MH 19,000 DLH 61,000 MH Estimate direct labor hours Estimate direct labor costs Estimate machine hours $200,000 Actual direct labor hours Actual direct labor costs Actual machine hours $208,000 Required Compute the predetermined factory overhead rate under three different bases: (1) direct labor hours, (2) direct labor costs, and (3) machine hours. (Round amounts to 2 decimal places.) a. Assume that actual factory overhead was $253,000 and that Mackenzie Company elected to apply factory overhead to Work in Process based on direct labor costs. b. i. Was factory overhead or 2018 over- or under-applied? How much? ii. Give the journal entry to record the application of overhead policy of writing off any under-or over-applied Factory Overhead balance Mackenzie Company follows the to Cost of Goods Sold at the end of the year. Give the journal entry necessary at the end of 2018 to dispose of the Factory Overhead balance determined in Part (b) c