Compton Corporation the Following Overhead Cost Information Is Available for Compton

Multiple Choice

Compton Corporation The following overhead cost information is available for Compton Corporation for 2011:
During the year, 5,000 purchase orders were issued; 20,000 shipments were received; 3,000 machine setups were performed; and 4,000 inspections were conducted.
Refer to the Compton Corporation information above. What is the overhead rate for the receiving activity?

A) $1.88 per shipment received
B) $6.00 per shipment received
C) $3.00 per shipment received
D) $0.33 per shipment received