Exercise 5.14. Predetermined Overhead Rate, Application of Overhead to Jobs, Job Cost, Unit Cost Objective 24 On August 1, Cairle Company's work-in-process inventory consisted of three jobs with the following costs: Job 70 Job Job 71 Job 72 Direct materials $1,600 $2,000 $850 Direct labor 1,900 1,300 900 Applied overhead 1,425 975 675 During August, four more jobs were started. Information on costs added to the seven jobs during the month is as follows: Direct materials To Job Job Job Job Job Job Job 70 71 72 73 74 75 76 $ 800 $1,235 $3,550 $5,000 $300 $560 $ 80 Direct labor 1,000 1,400 2,200 1,800 600 860 172 Before the end of August, Jobs 70, 72, 73, and 75 were completed. On August 31, Jobs 72 and 75 were sold. Required: 1. Calculate the predetermined overhead rate based on direct labor cost. 2. Calculate the ending balance for each job as of August 31. 3. Calculate the ending balance of Work in Process as of August 31.