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Predetermined Factory Overhead Rate Novus Engine Shop uses a job order cost system to determine the cost of performing engine repair work. Estimated costs and
Predetermined Factory Overhead Rate Novus Engine Shop uses a job order cost system to determine the cost of performing engine repair work. Estimated costs and expenses for the coming period are as follows: Engine parts $1,013,800 Shop direct labor 740,000 Shop and repair equipment depreciation 46,700 Shop supervisor salaries 129,900 Shop property taxs 23,600 18,100 Shop supplies 20,300 Advertising expense 87,200 11,200 Administrative office salaries Administrative office deprdciation expense Total costs and expenses $2,090,800 The average shop direct labor rate is $20 per hour. Determine the predetermined shop overhead rate per direct labor hour. Round your answer to the nearest cent. per direct labor hour Next
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