Raptor Company reported the following actual costs data for the year:

Purchase of raw materials (all direct)	$200,000
Direct labour (average hourly rate of $25)	400,000
Manufacturing overhead costs	100,000
Change in inventories:
Increase in raw materials	$25,000
Increase in work in process	16,000
Increase in finished goods	30,000

Raptor Company used a predetermined overhead rate based on direct labour hours. Estimated annual manufacturing overhead cost and direct labour hours were $150,000 and 20,000, respectively.

Required:

1. What was the pre-determined manufacturing overhead rate?
2. Calculate the cost of goods manufactured.
3. What was the cost of goods sold before adjusting for any under or overapplied overhead?
4. By how much was manufacturing overhead cost under or overapplied?
5. Create a summary journal entry to close any under or overapplied manufacturing overhead cost to cost of goods sold. Is such an entry appropriate in this situation? Why or why not?
6. Analyze the under or overapplied manufacturing overhead costs calculated in part 3 above into two separate components: amount due to incorrect estimate of the annual manufacturing overhead costs and an amount due to incorrect estimate of the annual direct labour cost.