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: Required: a. Determine the factory overhead rate for Factory 1. b. Determine the factory overhead rate for Factory 2. c. Journalize the Mar. 31 entries to apply factory overhead to production in each factory for March. Refer to the chart of accounts for the exact wording of the account titles. CNOW journals do not use lines for journal explanations. Every line on a journal page is used for debit or credit Factory Overhead Rates, Entries, and Account Balance Instructions Chart of Accounts Factory Overhead Rates Joumal Final Question \begin{tabular}{|ll} \hline Chart of Accounts \\ \hline \multicolumn{1}{|c|}{ ASSETS } \\ 110 Cash & 410 Sales \\ 121 Accounts Receivable & 610 Interest Revenue \\ 125 Notes Receivable & \\ 126 Interest Receivable & EXPENSES \\ 131 Materials & 510 Cost of Goods Sold \\ 132 Work in Process & 520 Wages Expense \\ 133 Factory Overhead & 531 Selling Expenses \\ 134 Finished Goods & 532 Insurance Expense \\ 141 Supplies & 533 Utilities Expense \\ 142 Prepaid Insurance & 534 Office Supplies Expense \\ 143 Prepaid Expenses & 540 Administrative Expenses \\ 181 Land & 560 Depreciation Expense-Factory \\ 191 Factory & 590 Miscellaneous Expense \\ 192 Accumulated Depreciation-Factory & 710 Interest Expense \\ \hline \end{tabular} a. Determine the factory overhead rate for Factory 1. per machine hour c. Journalize the Mar. 31 entry to apply factory overhead to production in Factory 1 for March. Refer to the chart of accounts for the exact wording of the account titles. CNOW journals do not use lines for journal explanations. Every line on a journal page is used for debit or credit entries. CNOW journals will automatically indent a credit entry when a credit amount is entered. JOURNAL Now journalize the second Mar. 31 entry to apply factory overhead to production in Factory 2 for March. Refer to the chart of accounts for the exact wording of the account titles. CNOW journals do not use lines for journal explanations. Every line on a journal page is used for debit or credit entries. CNOW journals will 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 March 31 and indicate whether the amounts represent overapplied factory overhead or Enter your answer as a positive number