A radial tire manufacturer produces products in two departmentsDivision A and B. The company uses separate allocation rates for each department to allocate its overhead. Division A and B have estimated manufacturing overhead costs of $150,000 and $ 350,000, respectively. Division A uses machine hours as the allocation base, and Division B uses direct labor hours as the allocation base. The total estimated machine hours were 30,000 and direct labor hours were 20,000 for the year. Calculate the departmental overhead allocation rates.

a. Division A$5, Division B$17.5

b. Division A$6, Division B$18.2

c. Division A$17.5, Division B$6

d. Division A$4, Division B$14.6