Sable Company is debating the use of direct labour cost or direct labour hours as the cost allocation base for allocating manufacturing overhead. The following information is available for the most recent year:

Estimated direct labour cost $$500,000$

Actual direct labour cost $$450,000$

Estimated manufacturing overhead costs $$400,000$

Actual manufacturing overhead costs $$350,000$

Estimated direct labour hours $250,000$

Actual direct labour hours $245,000$

If Sable Company uses direct labour cost as the allocation base, what would the predetermined manufacturing overhead rate be$?$

A$.$

$89\%$

B$.$

$70\%$

C$.$

$78\%$

D$.$

$80\%$