Premium Company produces uniforms. The company allocates manufacturing overhead based on the machine hours each job uses. Premium Company reports the following cost data for the past year: (Click the icon to view the cost data.) Read the requirements. Data table Budget Actual Requirement 1. Compute the predetermined manufacturing overhead rate. Direct labor hours 7,300 hours 6,600 hours Enter the formula for predetermined manufacturing overhead rate, then compute the rate. Machine hours 7,200 hours 6,900 hours =Predetermined overhead rate Depreciation on salespeople's autos $ 21,000 $ 21,000 per machine hour Indirect materials 52,000 $ 53,500 Requirement 2. Calculate the allocated manufacturing overhead for the past year. Depreciation on trucks used to deliver uniforms to customers Depreciation on plant and equipment $ 14,000 $ 11,500 $ 68,000 $ 69,500 Manufacturing overhead allocated Indirect manufacturing labor $ 40,000 $ 41,000 Customer service hotline $ 22,000 $ 24,500 x Plant utilities Direct labor cost 48,800 $ 50,300 $ 73,500 $ 84,500 Requirement 3. Compute the underallocated or overallocated manufacturing overhead. How will this underallocated o First calculate the preliminary manufacturing overhead balance using the T-account. Manufacturing Overhead Print Done Close the under- or overallocated overhead to Cost of Goods Sold by journalizing the entry. (Record debits first, then credits. Exclude explanations from any journal entries.) Premium Company produces uniforms. The company allocates manufacturing overhead based on the machine hours each job uses. Premium Company reports the following cost data for the past year: Click the icon to view the cost data.) Read the requirements. Requirement 3. Compute the underallocated or overallocated manufacturing overhead. How will this underallocated or overallocated manufacturing overhead be disposed of? First calculate the preliminary manufacturing overhead balance using the T-account. Manufacturing Overhead Close the under- or overallocated overhead to Cost of Goods Sold by journalizing the entry. (Record debits first, then credits. Exclude explanations from any journal entries.) Journal Entry Date Accounts Debit Credit Requirement 4. How can managers use accounting information to help control manufacturing overhead costs? To help control manufacturing overhead, managers compare the actual line item amounts for amounts to identify the reasons why actual costs with the budgeted amounts. Managers will also investigate only differences between actual and budgeted