Sundance Solar Company operates two factories. The company applies factory overhead to jobs on the basis of machine hours in Factory 1 and on the basis of direct labor hours in Factory 2. Estimated factory overhead costs, direct labor hours, and machine hours are as follows:

Factory 1Factory 2Estimated factory overhead cost for fiscal year beginning August 1$757,020 $780,900 Estimated direct labor hours for year 13,700 Estimated machine hours for year24,420 Actual factory overhead costs for August$60,370 $67,310 Actual direct labor hours for August 1,230 Actual machine hours for August1,900

1. Determine the factory overhead rate for Factory 1.
2. Determine the factory overhead rate for Factory 2.
3. Journalize the entries to apply factory overhead to production in each factory for August.
4. Determine the balances of the factory overhead accounts for each factory as of August 31, and indicate whether the amounts represent overapplied factory overhead or underapplied factory overhead.