You are the Cost Accounting Manager for Regal Manufacturing Inc. Regal Manufacturing Inc. assigns costs to the product using the Normal Costing Method. It is late at night, on January 1, 2020 and you are at your desk working to close the books for the Year End of December 31, 2019 (the year that just ended). In addition you are working on calculating the POHR for the new year, 2020. You have gathered the information below that you will use to calculate the POHR for coming fiscal year, 2020. The following is the actual cost accounting data for the fiscal year ended December 31, 2019 for Regal Manufacturing Inc. ACTUAL for EYE 12/21/19 $ 475,000 Total Fixed Factory Overhead Costs Variable Overhead cost per Direct Labor Hour worked Units produced $ 22.00 4,000 Direct Labor Hours worked 20,000 Direct Labor Cost per Hour $ 18.00 Machine Hours incurred 15,000 1) You need to calculate the POHR that will be used to apply FOH to the products produced in the new FYE 12/31/20. The assumptions you use in your calculation of the POHR are as follows: (Round your answer to 2 decimal places). Assumptions: The company uses Direct Labor Hours as the allocation base to apply Factory 1 Overhead to the cost of the product 2 The production in units forecasted for 2020 is 4,200 units. Total Fixed Factory Overhead Cost for the FYE 12/31/20 is forecasted to increase by 10% from the FYE 12/31/19 amount of $475,000. The Variable Factory Overhead cost per direct labor hour for FYE 12/31/20 is expected to decrease by 5% from the prior year FYE 12/31/19 amount of $22 per direct labor hour (this cost reduction is due to installing new production equipment) It is forecasted that the amount of Direct Labor Hours incurred per unit produced in 5 the coming FYE 12/31/20 will remain the same level as the prior year FYE 12/31/19 rate. 3 4 EYE 12/30/2020 POHR = Show your work here: Assume that the Actual Direct Labor Hours for FYE 12/31/20 were 20,700. Below prepare the Journal Entry to record the application of the Factory Overhead. (the total amount applied for the entire FYE 12/31/20). 2) GENERAL JOURNAL Dat Account Titles and Explanation Debit Credit 3) Assume that at the end of FYE 12/31/20 you review the cost accounting data and it shows that the company produced 4,100 units and incurred actual total Factory Overhead for the year of $955,400. Determine the amount of Over or Applied Overhead at the end of FYE 12/31/20. [Show the $ amount and indicate whether it is over or under applied FOH) Over or Applied Overhead at the end of FYE 12/31/20. [Show the $ amount and indicate whether it is over or under applied FOH) Over or