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Love It Industries manufactures custom-designed playground equipment for schools and city parks. Love It expected to incur $9

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Computation of the manufacturing costs of job 307
Direct Materials $     14,800.00
Direct Labor $       4,340.00
Manufacturing Overhead $       3,410.00
Total Job cost $     22,550.00
Computation of the predetermined overhead rate
Estimated Yearly overhead costs / Estimated yearly direct labor hours = Predetermined overhead rate
$                              906,400.00 /                                      41,200.00 = $                                  22.00
Explanation
Direct Labor = 155 x $ 28 = $4,340
Manufacturing Overhead = 155 x $22 = $ 3,410
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