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PROBUEM 5-18 Medusa Products utes a joborder costing wytem. Ovectead costs are applied to jobs oa the basis of machine bours. At the beginning of the year, managemeat eatimated that the company would incer $170,000 in mannafacturing overhead costs for the year and work 85,000 machinebours. Required 1. Compute the compary's predetermined oveahead rate. 2. Asrume that daring the year the company actuatly works only 50,000 machipehours and incurs the following costs in the Manutgeturing Overhead and Work in Process account: Cops the cata in thit Taccounts above oote your asswer sheet. Compute the anount of ovethad cort that would be applied to Work in Process for the year, and make the tatry in year Taccounts 3. Comgune the amoast of anserapglied or overapplied overhead for the fear, and show the balance in joar Minufacturing Onechead Taccount. Prepare a jurnat eatey to properfy dirpose of the balance. 4. Explain wiv the manufactiorisg ovethesd wa: underapplied or overapplied for the jear