Dehner Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on direct labor-hours. The company based its predetermined overhead rate for the current year on the following data:

Total direct labor-hours		40,000
Total fixed manufacturing overhead cost	$	96,000
Variable manufacturing overhead per direct labor-hour	$	3.00

Recently, Job P951 was completed with the following characteristics:

Number of units in the job		20
Total direct labor-hours		100
Direct materials	$	755
Direct labor cost	$	4,000

The predetermined overhead rate is closest to:

• $2.40 per direct labor-hour

• $5.40 per direct labor-hour

• $3.00 per direct labor-hour

• $8.40 per direct labor-hour

Need fast response please