For answering the following questions use the information below:

For 2019, Tiger's Animal Supply Manufacturing uses machine-hours as the only overhead cost-allocation base. The accounting records contain the following information:

Estimated Actual

Manufacturing over head 100,000 120,000

Machine-Hours 20,000 25,000

Using job costing, the 2019 budgeted manufacturing overhead rate is:

$4.00 per machine-hour

$4.80 per machine-hour

$5.00 per machine-hour

$6.00 per machine-hour