Alamo, Inc., is a technology consulting firm focused on Web site development and integration of Internet business applications. The president of the company expects to incur \(\$ 706,000\) of indirect costs this year, and she expects her firm to work 5,000 direct labor hours. Alamo's systems consultants earn \(\$ 350\) per hour. Clients are billed at \(150 \%\) of direct labor cost. Last month Alamo's consultants spent 100 hours on Crockett's engagement.

1. Compute Alamo's indirect cost allocation rate per direct labor hour.

2. Compute the total cost assigned to the Crockett engagement. 

3. Compute the operating income from the Crockett engagement.