?Rubio, Inc., a law consulting? firm, has been using a single predetermined overhead allocation rate with direct labor hours as the allocation base to allocate overhead costs. The direct labor rate is? $300 per hour. Clients are billed at? 160% of direct labor cost. Chandler? Massey, the president of? Rubio, decided to develop an ABC system to more accurately allocate the indirect costs. He identified two activities related to the total indirect

costslong dashtravel

and information technology? (IT) support. The other relevant details are given? below:

Activity	Allocation base	Estimated costs	Estimated quantity of allocation base
Travel	Miles driven	????? $85,000	?1,500 miles
IT Support	Direct labor hours	?59,000	?1,250 DLH
Total		?$144,000

The predetermined overhead allocation rate for travel will be? ________. (Round your answer to the nearest? cent.)

A.

?$68.00 per mile

B.

?$56.67 per mile

C.

?$96.00 per mile

D.

?$47.20 per mile