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.
$\begin{array}{lcc}\text { Estimated: } & \text { Department 1 } & \text { Department 2 } \\\text { Manufacturing overhead costs } & \$ 200,000 & \$ 400,000 \\\text { Direct labor hours } & 60,000 \mathrm{DLH} & 80,000 \mathrm{DLH} \\\text { Machine hours } & 1,000 \mathrm{MH} & 3,000 \mathrm{MH}\end{array}$
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.