Answer the Following Questions Using the Information Below:
Sky High

Multiple Choice

Answer the following questions using the information below:
Sky High Company has two departments, X and Y. The following estimates are for the coming year:
$\begin{array}{lrr}&X&Y\\\text { Direct manufacturing labor-hours } & 20,000 & 40,000 \\\text { Machine-hours } & 40,000 & 20,000 \\\text { Manufacturing overhead } & \$ 200,000 & \$ 400,000\end{array}$
-A single indirect-cost rate based on direct manufacturing labor-hours for the entire plant is ________.

A) $15 per direct labor-hour
B) $10 per direct labor-hour
C) $21 per direct labor-hour
D) $12 per direct labor-hour