14. Simplex Company has the following estimated costs for next year: Indirect materials 41,080 Advertising expenses 11,000 Rent on factory equipment 16,000 Simplex estimates that 10,000 direct labour and 16,000 machine hours will be worked during the year. If overhead is applied on the basis of machine hours, what will be the overhead rate per hour? a. $6.94. b. $8.56. c. $3.50. C]. $7.63