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Acton Corporation, which applies manufacturing overhead on the basis of machine-hours, has provided the following data for its most recent year of operations. Estimated manufacturing

Acton Corporation, which applies manufacturing overhead on the basis of machine-hours, has provided the following data for its most recent year of operations.

Estimated manufacturing overhead

$139,080

Estimated machine-hours

3,800

Actual manufacturing overhead

$137,000

Actual machine-hours

3,780

The predetermined overhead rate is closest to: The estimates of the manufacturing overhead and of machine-hours were made at the beginning of the year for the purpose of computing the company's predetermined overhead rate for the year.

A.

$36.60

B.

$36.41

C.

$36.24

D.

$36.05

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