1. The MoonStar Corporation uses a predetermined overhead rate to apply manufacturing overhead costs the each department. For the Department A, the company uses labor cost as allocation base and for the Department B, uses machine-hours as allocation base.

At the beginning of the year, the Corporation made the following estimates:

	Dept. A	Dept. B
Direct labor cost	$60,000	$40,000
Manufacturing overhead	$90,000	$45,000
Direct labor-hours	6,000	9,000
Machine-hours	2,000	15,000

Question: Please compute the predetermined overhead rates for Dept. A and for Dept. B