Exercise A: Fabric Co calculates its predetermined overhead rate annually based on direct labor-hours. At the beginning of the year, it estimated that 20,000 direct labor-hours (DLH) would be required for the periods estimated level of production. The company also estimated $94,000 of fixed MOH expenses for the company period and variable MOH of $2.00 per DLH. Fabrics actual MOH for the year was $123,900 and its actual total DLH was 21,000 hours. Required: 1. Compute the companys predetermined overhead rate for the year