n 2012, Alan's Seafood Supply Manufacturing uses machine-hours as the only overhead cost-allocation base. The accountant reported the following information:

Estimated Actual

Manufacturing overhead costs $225,000 $250,000

Machine-hours 50,000 55,000

Using job costing, compute the 2012 actual indirect cost rate:

		$3.85 per machine hour
		$3.95 per machine hour
		$4.50 per machine hour
		$4.54 per machine hour