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Willies Engine Shop uses a job order cost system to determine the cost of performing engine repair work. Estimated costs and expenses for the coming

Willies 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 $931,600
Shop direct labor 680,000
Shop and repair equipment depreciation 50,900
Shop supervisor salaries 141,600
Shop property tax 25,700
Shop supplies 19,800
Advertising expense 18,600
Administrative office salaries 80,100
Administrative office depreciation expense 10,200
Total costs and expenses $1,958,500

The average shop direct labor rate is $20 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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