Each month, a production centre uses $20000$ machine hours and $17000$ labour hours. Which formula is applied to work out the overhead absorption rate?
- A$\frac{\text{total machine hours}}{\text{total overhead cost}}$
- B$\frac{\text{total overhead cost}}{\text{total labour hours}}$
- C$\frac{\text{total overhead cost}}{(\text{total labour hours} + \text{machine hours}) \div 2}$
- D$\frac{\text{total overhead cost}}{\text{total machine hours}}$