Fanning Construction Company expects to build three new homes during a specific accounting period. 

The estimated direct materials and labor costs are as follows: 

Expected Costs   Home 1     Home 2      Home 3 

Direct labor      $ 79,000   $ 103,000    $ 183,000 

Direct materials   94,000    135,000      185,000 

Assume Fanning needs to allocate two major overhead costs ($54,750 of employee fringe benefits and $33,120 of indirect materials costs) among the three jobs. 

Required 

Choose an appropriate cost driver for each of the overhead costs and determine the total cost of each house. (Round "Allocation rate" to 2 decimal places.)