xercise/Other 1. Identify the following costs as a (a) product cost or (b) period cost for a cake factory. 1. Frosting 2. 3.Advertising fees 4Transportation out Baker's wages 2. The Cavy Company estimates that the factory overhead for the following year will be $1,250,000. The ory overhead should be machine hours, which is company has decided that the basis for applying fact estimated to be 50,000 hours. The total machine hours for the year was 54,300. The actual factory overhea for the year was $1,375,000. a) Determine the total factory overhead amount applied. b) Calculate the over or under applied amount for the year. ct t e fo erha ito Co f o