USC Company Has the Following Information Available Assume Direct Labor Hours Are the Cost Driver of Factory

Multiple Choice

USC Company has the following information available:
$\begin{array}{ll}\text { Budgeted factory overhead costs } & \$ 90,000 \\\text { Actual factory overhead costs } & \$ 80,000 \\\text { Budgeted direct labor hours } & 20,000 \\\text { Actual direct labor hours } & 21,000\end{array}$
Assume direct labor hours are the cost driver of factory overhead costs.The budgeted factory overhead rate is ________.

A) $3.57 per direct labor hour
B) $3.81 per direct labor hour
C) $4.00 per direct labor hour
D) $4.50 per direct labor hour