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Tiger Furnishings produces two models of cabinets for home theater components, the Basic and the Dominator. Data on operations and costs for March follow: Basic

Tiger Furnishings produces two models of cabinets for home theater components, the Basic and the Dominator. Data on operations and costs for March follow:

Basic Dominator Total
Units produced 1,100 250 1,350
Machine-hours 4,400 1,000 5,400
Direct labor-hours 2,800 2,200 5,000
Direct materials costs $ 9,400 $ 4,150 $ 13,550
Direct labor costs 54,800 36,300 91,100
Manufacturing overhead costs 153,360
Total costs $ 258,010

Required:

Compute the predetermined overhead rate assuming that Tiger Furnishings uses machine-hours to allocate overhead costs.

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