Question 8 10 pts Company Xestimates the following costs for next year: Direct materials $15 Direct labor $55 Sales commissions $75 Salary of production supervisor Indirect materials $35 $5 Advertising expense Rent on factory equipment $11 $16 Company X estimates that 16 machine-hours and 10 direct labor hours will be used during the year. Assuming that overhead is applied on the basis of machine-hours, the overhead rate per hour will be: $8.56 $3.50 $6.94 O $7.63