Speedy Auto Repairs uses a job$-$order costing system. The company$$s direct materials consist of replacement parts installed in customer vehicles, and its direct labor consists of the mechanics$$ hourly wages. Speedy$$s overhead costs include various items, such as the shop manager$$s salary, depreciation of equipment, utilities, insurance, and magazine subscriptions and refreshments for the waiting room.

The company applies all of its overhead costs to jobs based on direct labor$-$hours. At the beginning of the year, it made the following estimates:

Direct labor$-$hours required to support estimated output $18,000$

Fixed overhead cost $ $198,000$

Variable overhead cost per direct labor$-$hour $ $1\mathrm{.}00$

Required:

$1.$ Compute the predetermined overhead rate.

$2.$ During the year, Mr$.$ Wilkes brought in his vehicle to replace his brakes, spark plugs, and tires. The following information was available with respect to his job:

Direct materials $ $719$

Direct labor cost $ $177$

Direct labor$-$hours used $7$

Compute Mr$.$ Wilkes$$ total job cost.

$3.$ If Speedy establishes its selling prices using a markup percentage of $30\%$ of its total job cost, then how much would it have charged Mr$.$ Wilkes?