Schneider, Inc. had the following information relating to year 1:

Budgeted manufacturing overhead$74,800

Actual manufacturing overhead$78,300

Applied manufacturing overhead$76,500

Estimated direct labor hours44,000

If Schneider decides to use the actual results from year 1 to determine the year 2 overhead rate, what is the year 2 overhead rate?

a)$1,700

b)$1,738

c)$1,740

d)$1,780