Cathy Company uses a pre-determined (budgeted) manufacturing overhead rate based on direct labor hours to allocate total manufacturing overhead to products. The budget below shows the total amount of variable manufacturing overhead and the total amount of fixed manufacturing overhead at different levels of activity: Direct labor hours 50.000 80.000 110,000 Variable Manuf. Overhead Costs $100,000 $160.000 Fixed Manuf. Overhead Costs 150.000 150.000 150.000 Total Manuf. Overhead Costs $250.000 $310.000 $370,000 Management has estimated that next year's activity will be 100.000 direct laterhous Next year's total pre-determined manufacturing overhead rate per direct labor hour (DLH) is $3.88 per DLH $3.50 per DLH $3.36 per DLH $3.70 per DLH