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		1,000			250			1,250
Machine-hours		4,500			2,500			7,000
Direct labor-hours		3,000			2,000			5,000
Direct materials costs	$	10,000		$	3,750		$	13,750
Direct labor costs		64,500			35,500			100,000
Manufacturing overhead costs								175,000
Total costs							$	288,750

Required:

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