A finishing department absorbs production overheads using a direct labour hour basis. Budgeted production overheads for the year just ended were $268,800 for the department, and actual production overhead costs were $ 245,600. If actual labour hours works were 45,000 and production overheads were over-absorbed by $6,400 what was the overhead absorption rate per hour?

$5.32

$5.60

$5.83

$6.12