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Predetermined Factory Overhead Rate Turbo Shop uses job order costing to determine the cost of performing engine repair work. Estimated costs and expenses for
Predetermined Factory Overhead Rate Turbo Shop uses job order costing to determine the cost of performing engine repair work. Estimated costs and expenses for the coming period are as follows: Engine parts $709,700 Shop direct labor 518,000 Shop and repair equipment depreciation 58,600 Shop supervisor salaries 162,900 Shop property taxes 29,600 Shop supplies Advertising expense Administrative office salaries Administrative office depreciation expense 22,700 14,200 61,000 7,800 Total costs and expenses $1,584,500 The average shop direct labor rate is $14.00 per hour. Determine the predetermined shop overhead rate per direct labor hour. Round the answer to nearest whole cent. $ per direct labor hour
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