Barr Mfg. provided the following information from its accounting records for 2010: Expected production 30,000 labor hours Actual production 28,000 labor hours Budgeted overhead $600,000 Actual overhead $580,000 How much is the overhead application rate if Barr bases the rate on direct labor hours? $19.33 per hour $20.00 per hour $18.67 per hour $20.71 per hour