#2

Predetermined Pactory Overhead Rate Spring Street Engine Shop uses a job order cost system to determine the cost of performing engine repair work. Estimated costs and expenses for the coming period are as Engine parts Shop direct labor Shop and repsir equipment deprecation Shop supervisor salaries Shop property tax Shop supplies Advertising expense Administrative office salaries $582,300 425,000 3,900 122,000 22,100 7,000 11,600 50,100 6,400 $1,280,400 Administrative office depreciation expense Total costs and expenses The average shop direct labor rate is $17 per hour. Determine the predetermined shop overhead rate per direct labor hour.Round the answer to nearest whole cent per direct labor hour