Mike\'s Bikes uses a Job Order Cost system to determine the cost of repairing bicycles. Estimated costs and expenses for the following period are as follows:

bicycle parts assume direct $

shop direct labor $

shop supervisor salary $

shop property taxes $

shop supplies assume indirect $

advertising $

a What is the total estimated costs for shop overhead?

b Assume that overhead is allocated to jobs based on Direct Labor Cost. What is the Predetermined Overhead Rate for the coming period?