18) 18) Kalp Corporation has two production departments, Machining and Finishing. The overhead rate company uses a job-order costing system and computes a predeteriverhead in each production department. The Machining Department's pre rate is based on machine-hours and the Finishing Department's p rate is based on direct labor-hours. At the beginning of the current year, the had made the following estimates: termined overhead company Machining Finishing Machine-hours Direct labor-hours Total fixed manufacturing overhead cost Variable manufacturing overhead per machine-hour Variable manufacturing overhead per direct labor-hour 19,000 12,000 2,000 8,000 S 136,800 69,600 1.80 $ 3.20 During the current month the company started and finished Job K928. The following data were recorded for this job: Job K928 Machine-hours Direct labor-hours Machining Finishing 10 50 $ 775 $ 415 S 630 1,050 90 30 Direct materials Direct labor cost The predetermined overhead rate for the Machining Department is closest to A) S21.38 per machine-hour C) $9.00 per machine-hour B) $1.80 per machine-hour D) $7.20 per machine-hour