5. Tidwell Industries has the following overhead costs and cost drivers. Direct labor hours are estimated at 100,000 for the year. Cost Driver Activity 500 orders 450 setups 125,000 MH 1,000,000 parts 500 inspections Est. Overhead Activity Cost Pool Ordering and Receiving Machine Setup Machining Assembly Inspection Orders Setups Machine hours Parts $120,000 297,000 1,500,000 1,200,000 300,000 Inspections If overhead is applied using traditional costing based on direct labor hours, the overhead application rate is A) $9.60. B) $1200. C) $15.00. D) $34.17