Predetermined Factory Overhead Rate Street Runner 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 Shop direct labor Shop and repair equipment depreciation Shop supervisor salaries Shop property taxes Shop supplies Advertising expense Administrative office salaries Administrative office depreciation expense Total costs and expenses $740,000 500,000 40,000 133,000 22,000 10,000 20,000 71,400 6,000 $1 400 The average shop direct labor rate is $20 per hour. Determine the predetermined shop overhead rate per direct labor hour. Round to the nearest cent. per direct labor hour