Bell Corporation manufactures computers. Assume that Bell:

-allocates manufacturing overhead based on machine hours

-estimated 11,000 machine hours and $88,000 of manufacturing overhead costs

-actually used 15,000 machine hours and incurred the following actual costs:

Indirect labor	$12,000
Depreciation on plant	45,000
Machinery repair	11,000
Direct labor	73,000
Plant supplies	6,000
Plant utilites	6,000
Advertising	38,000
Sales Comissions	27,000

What is Bell's predetermined overhead alloation rate?

a. $5.33/machine hour

b. $5.87/machine hour

c. $8.00/machine hour

d. $7.27/machine hour