Direct Direct Direct Materials Labour Cost Labour Hours

Direct Direct Direct Materials Labour Cost Labour Hours
Job 400 $200 $800 40
Job 401 250 200 10
Job 402 500 600 32
Sparkle Company uses job costing and applies overhead using an actual costing system using direct labour hours as the allocation base. This period's estimated overhead cost is $400,000, estimated direct labour cost is $500,000 and estimated direct labour hours are 25,000. This period's actual overhead cost was $420,000, actual direct labour cost was $390,000, and actual direct labour hours were 20,000.
What is the overhead allocation rate?

A) $21/hour
B) $10/hour
C) $16/hour
D) $18/hour