The Following Data Relates to All-Out Company's Estimated Amounts for Next

Multiple Choice

The following data relates to All-Out Company's estimated amounts for next year. $$\begin{array} { l c c } \text { Estimated: } & \text { Department 1 } & \text { Departrnent } 2 \\\text { Marufacturing overhead costs } & \$ 200,000 & \$ 400,000 \\\text { Direct labor hours } & 60,000 \mathrm { DLH } & \mathbf { 8 0 , 0 0 0 \mathrm { DLH } } \\\text { Machine hours } & 1,000 \mathrm { MH } & \mathbf { 3 , 0 0 0 \mathrm { MH } }\end{array}$$ What is the company's plantwide overhead rate if machine hours are the allocation base?
(Round to two decimal places.)

A) $200.00 per MH
B) $150.00 per MH
C) $100.00 per MH
D) $4.29 per MH
E) $5.00 per MH