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Nutty Co's Gourmet Gift Baskets go through two departments before they are ready to sell. The Bagging Department uses the Snack-o-matic to fill bags of snack mixes. Once the bags are filled, they are sent to the Arranging Department to arrange in the gift basket, along with the other decorations included. Use the information below to calculate the predetermined overhead rates for each department. Department Bagging Arranging Direct labor-hours 50 200 Machine-hours 300 10 Total fixed manufacturing overhead cost $ 8,000 $ 7,500 Variable MOH per machine-hour 2.00 Variable MOH per labor-hour -- 1.50 Bagging Arranging Predetermined overhead rate =