A company has divided its costs among different departments, as set out below. Allocated costs: Production department 1: $80\,000$ Production department 2: $60\,000$ Maintenance department: $10\,000$ Distribution of maintenance department costs: Production department 1: $60\%$ Production department 2: $40\%$ Direct labour hours: Production department 1: 20\,000 hours Production department 2: 8000 hours What is the overhead absorption rate per labour hour for production department 1?
- A$3.70$
- B$4.00$
- C$4.20$
- D$4.30$