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

Estimated machine-hours: 72,000

Estimated variable manufacturing overhead:

$ 3.10 per machine-hour

Estimated total fixed manufacturing overhead:

$ 838,700

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

Multiple Choice

$9.30 per machine-hour

$8.58 per machine-hour

$6.78 per machine-hour

$14.75 per machine-hour