Homer and Donuts Corporation bases its predetermined overhead rate on the estimated machine-hours for the upcoming year. Data for the upcoming year appear below: Estimated direct labor hours 750 hours Actual direct labor hours. 580 hours Estimated machine hours. 50,000 hours Actual machine hours.. 61,250 hours Estimated variable manufacturing overhead... $6.32 per machine hour Estimated total fixed manufacturing overhead $758,000 The predetermined overhead rate for the recently completed year was closest to: