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Adcock Company estimates that manufacturing overhead costs for the next year will be $6,870,000 for...

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Accounting

Adcock Company estimates that manufacturing overhead costs for the next year will be $6,870,000 for indirect labor and $450,000 for factory utilities. The company uses machine hours as its overhead allocation base. If 160,000 machine hours are planned for the next year, what is the company's predetermined manufacturing overhead rate?
$45.7500 per machine hour.
$0.3555 per machine hour.
$0.0219 per machine hour.
$42.9375 per machine hour.
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