Predetermined Departmental Overhead Rates, Applying Overheed to Production At the beginning of the year, Hallett Company estimated the following Cutting Department $240,000 31,200 150,000 Sewing Department Total Overhead Direct labor hours Machine hours 350,000 $590,000 131,200 150,000 100,000 Halltt uses departmental overhead rates. In the cutting department, overhead is applied on the basis of machine hours. In the sewing department, overhead is applied on the basis of direct labor hours. Actual data for the month of June are as follows: Overhead Direct labor hours Machine hours Required: 1. Calculate the predetermined overhead rates for the cutting and sewing departments. Round your answers to the nearest cent. Cutting Department $20,610 2,800 13,640 Sewing Department 35,750 8,600 Total $56,360 11,400 13,640 Cutting department overhead rate per machine hour per direct labor hour Sewing department overhead rate 2. Calculate the overhead applied to production in each department for the month of June. Overhead applied to cutting in June Hallett uses departmental overhead rates. In the cutting department, overhead is applied on the basis of machine hours. In the sewing department, overhead is applied on the basis of direct labor hours. Actual data for the month of June are as follows: Cutting Department $20,610 2,800 13,640 Sewing Department $35,750 8,600 Total Overhead Direct labor hours Machine hours Required: 1. Calculate the predetermined overhead rates for the cutting and sewing departments. Round your answers to the nearest cent. Cutting department overhead rate Sewing department overhead rate 2. Calculate the overhead applied to production in each department for the month of June. Overhead applied to cutting in Junce Overhead applied to sewing in June 3. By how much has each department's overhead been overapplied or underapplied? Cutting department overhead variance $56,360 11,400 13,640 per machine hour per direct labor hour Sewing department overhead varilance