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Darling Company, which applies overhead to production on the basis of machine hours, reported the...

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Accounting

Darling Company, which applies overhead to production on the basis of machine hours, reported the following data for the period just ended: Actual units produced: 12,000 Actual variable overhead incurred: $730,000 Actual machine hours worked: 60,000 Budgeted fixed overhead $720,000 Planned level of machine-hour activity 50,000

If Darling estimates four hours to manufacture a completed unit, the company's standard fixed overhead rate per machine hour would be:

A. $12.00.

B. $14.40.

C. $14.60.

D. $15.00.

E. some other amount.

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