James Cook, a production department worker, is paid on hourly basis at a rate of $15 per hour. James works 40 hours per week. Any time James works over 40 hours, it is considered as overtime and he is paid at a rate of $22 for each overtime hour. From the labor time sheet of the first week of January the following data are summarized.

Total work hours	46 hours
Time for waiting materials	3 hours
Time for waiting machine repairs	3 hours
Time for cleaning the work place	1 hours

1. Calculate the applied (allocated) overhead rate. (5 points)

2. Determine monetary values of indirect labor cost items (5 points)