Rebhi Company has two departments, Machining and Assembly. The estimates for the coming year: Machining: 10,000 Direct manufacturing labor-hours, 40,000 Machine-hours and $200,000 Manufacturing overhead costs. Assembly: 50,000 Direct manufacturing labor-hours, 20,000 Machine-hours and $400,000 Manufacturing overhead costs. The budgeted indirect-cost driver rate for the Machining Department based on the number of machine-hours in that department is:

a. $15 per machine-hour

b. $10 per machine-hour

c. $20 per machine-hour

d. $5 per machine-hour

Kia Corporation has two departments, A and B. Central costs could be allocated to the two departments in various ways. Square footage of department A and B 6,000 and 18,000 square feet respectively, Number of employees of department A and B 1,120 and 480 respectively, and sales of department A and B $400,000 and $2,000,000 respectively. If total rent expense of $120,000 is allocated on the basis of square footage, the amount allocated to Department B would be:

a. $20,000

b. $90,000

c. $84,000

d. $30,000