Lakeland Heating$$ & Cooling installs and services commercial heating and cooling systems. Lakeland uses job costing to calculate the cost of its jobs. Overhead is allocated to each job based on the number of direct labor hours spent on that job. At the beginning of the current$$ year, Lakeland estimated that its overhead for the coming year would be $ $63,750.$ It also anticipated using $4,250$ direct labor hours for the year.

Direct materials used. $..$

$$16,000$

$$13,500$

Direct labor hours used.

$185$

$76$

What is Lakeland$\text{'}$s predetermined overhead rate based on direct labor$$ hours?

Determine the formula to calculate Lakeland$\text{'}$s predetermined overhead rate based on direct labor$$ hours, then calculate the rate.

Overhead costs job $101$ and job $102$

What is the total cost of Job$101?$ What is the total cost of Job$102?$