Problem 19-5A (Algo) Computing and applying overhead to jobs; recording under- or overapplied overhead LO P3, P4 At the beginning of the year, Learer Company's manager estimated total direct labor cost to be $2,518,000. The manager also estimated the following overhead costs for the year. Indirect labor Rent on factory building Factory utilities Depreciation-Factory equipment Repairs expense-Factory equipment Indirect materials Total estimated overhead costs $ 561,000 141,800 157,800 481,800 61,800 106,600 $ 1,510,800 For the year, the company incurred $1,525,400 of actual overhead costs. It completed and sold five jobs with the following direct labor costs: Job 201, $605,800; Job 202, $564,800; Job 203, $299,800; Job 204, $717,800; and Job 205, $315,800. In addition, Job 206 is in process at the end of the year and had been charged $18,800 for direct labor. No jobs were in process at the beginning of the year. The company's predetermined overhead rate is based on a percent of direct labor cost. Required: 1-a. Determine the predetermined overhead rate for the year. 1-b. Determine the overhead applied to each of the six jobs during the year. 1-c. Determine the over- or underapplied overhead at the year-end. 2. Prepare the entry to close any over- or underapplied overhead to Cost of Goods Sold at year-end.