Dunnings Woodworking Corporation produces fine cabinets. The company uses a job-order costing system in which its predetermined overhead rate is based on capacity. The capacity of the factory is determined by the capacity of its constraint, which is an automated router. Additional information is provided below for the most recent month: Estimates at the beginning of the month: Estimated total fixed manufacturing overhead Capacity of the router $10,998 180 hours Actual results: Actual total fixed manufacturing overhead Actual hours of router use $10,998 130 hours The predetermined overhead rate based on hours at capacity is closest to Multiple Choice $84.60 per hour