The Manufacturing Overhead Budget at Mahapatra Corporation Is Based on Budgeted

The manufacturing overhead budget at Mahapatra Corporation is based on budgeted direct labor-hours. The direct labor budget indicates that 7,900 direct labor-hours will be required in May. The variable overhead rate is $9.50 per direct labor-hour. The company's budgeted fixed manufacturing overhead is $112,970 per month, which includes depreciation of $18,170. All other fixed manufacturing overhead costs represent current cash flows.
-The company recomputes its predetermined overhead rate every month.The predetermined overhead rate for May should be:

A) $14.30
B) $21.50
C) $9.50
D) $23.80