Penny Industrial Products manufactures ball bearings. It has two operating departments: Assembly and Testing. It also has one service department: Materials Management. Total costs of Materials Management Department are allocated using labor hours as cost-allocation base. The folllowing information is given for the year:

Actual:

Fixed Costs $1,100,000

Labor Hours - Assembly 1,050 hours

Labor Hours - Testing 520 hours

Budgeted:

Fixed Costs $1,000,000

Labor Hours - Assembly 1,000 hours

Labor Hours - Testing 500 hours

Variable Cost per labor hour $50

What is the cost-allocation rate for Testing department using single-rate method?