Brothern Corporation bases its predetermined overhead rate on the estimated machine-hours for the upcoming year. Data for the most recently completed year appear below:

Estimates made at the beginning of the year:

Estimated machine-hours 37,300

Estimated variable manufacturing overhead $ 5.39 per machine-hour Estimated total fixed manufacturing overhead $ 775,840 Actual machine-hours for the year 35,200

The predetermined overhead rate for the recently completed year was closest to:

Multiple Choice

a $26.19 per machine-hour b $5.39 per machine-hour c $25.89 per machine-hour d $20.80 per machine-hour