Dallas Company uses a job order costing system. The company's executives estimated that direct labor would be $3,750,000 (250,000 hours at $15/hour) and that factory overhead would be $1,550,000 for the current period. At the end of the period, the records show that there had been 230,000 hours of direct labor and $1,250,000 of actual overhead costs. Using direct labor hours as a base, what was the predetermined overhead rate? (Round your answer to two decimal places.)

$5.67 per direct labor hour. $5.00 per direct labor hour. $6.08 per direct labor hour. $6.74 per direct labor hour. $6.20 per direct labor hour.