Salalah Corporation uses direct labor-hours in its predetermined overhead rate. At the end of the year, actual direct labor-hours for the year were 18,000 hours, manufacturing overhead for the year was underapplied by $12,100, and the actual manufacturing overhead was $215,980. The predetermined overhead rate for the year must have been closest to: a. $11.40 per machine-hour b. $11.96 per machine-hour c. $12.34 per machine-hour 47 d. $11.33 per machine-hour