Kalp Corporation has two production departments, Machining and Finishing. The company uses a job order costing system and computes a predetermined overhead rate in each production department. The Machining Department's predetermined overhead rate is based on machine-hours and the Finishing Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: Machine-hours Direct labor-hours Total fixed manufacturing overhead cost Variable manufacturing overhead per machine-hour Variable manufacturing overhead per direct labor-hour Machining Finishing 19,800 12,000 2,000 8,000 $136,800 $69,600 $ 1.80 $ 3.20 During the current month the company started and finished Job K928. The following data were recorded for this job: 10 Job K928: Machine-hours Direct labor-hours Direct materials Direct labor cost Machining Finishing 90 30 $775 $ 415 $ 630 $1,ese 5e The predetermined overhead rate for the Machining Department is closest to Multiple Choice O $720 per machine-hour