Washington Company (Washco) has the following estimated costs for the next year:

Direct Materials $5,000

Depreciation on factory equip 7,000

Direct Labor 19,000

Indirect Labor 11,000

Rent on factory building 16,000

Procution supervisor's salary 14,000

Sales Salaries 24,000

Washco estimates that 24,000 direct labor hours will be worked during the year. If overhead is applied on the basis of direct labor hours, the predetermined overhead rate per hour will be:

Question 5 options:

	$2.00
	$1.71
	$3.00
	$4.00