DCorp uses a predetermined overhead rate based on machine-hours to apply manufacturing overhead to jobs. The companyhas provided the following estimated costs for next year:

Direct materials $ 1,000

Direct labor $ 3,000

Sales commissions $ 4,000

Salary of production supervisor $ 2,500

Indirect materials $ 1,000

Advertising expense $ 800

Rent on factory equipment $ 3,000

DCorp estimates that 500 direct labor-hours and 1,000 machine-hours will be worked during the year. The predetermined overhead rate per hour will be?