A company gives the following data. Department X: budgeted overheads $150000, budgeted direct labour hours 2000, budgeted machine hours 8000. Department Y: budgeted overheads $210000, budgeted direct labour hours 10000, budgeted machine hours 1000. Which overhead absorption rate is most suitable for each department?
- ADepartment X: $18.75 per machine hour; Department Y: $21 per direct labour hour
- BDepartment X: $75 per direct labour hour; Department Y: $210 per machine hour
- CDepartment X: $18.75 per machine hour; Department Y: $210 per machine hour
- DDepartment X: $75 per direct labour hour; Department Y: $21 per direct labour hour