Claybrooks Corporation has two manufacturing departments--Casting and Assembly. The company used the following data at...

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Accounting

Claybrooks Corporation has two manufacturing departments--Casting and Assembly. The company used the following data at the beginning of the year to calculate predetermined overhead rates:

Casting Assembly Total
Estimated total machine-hours (MHs) 3,000 2,000 5,000
Estimated total fixed manufacturing overhead cost $ 17,700 $ 5,800 $ 23,500
Estimated variable manufacturing overhead cost per MH $ 1.50 $ 2.20

Assume that the company uses departmental predetermined overhead rates with machine-hours as the allocation base in both departments. The departmental predetermined overhead rate in the Assembly Department is closest to:

$5.10

$6.48

$2.20

$2.90

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