Answer
$6 per direct labor hour is the predetermined overhead rate
Work Step by Step
First, you have to use the formula Y=a+bx in order to get the estimated total manufacturing overhead cost, which can be computed as:
10,000+$1.00/ 2000= 12,000 DLH
Then we can use our predetermined overhead rate:
Predetermined overhead rate= Estimated total manufacturing overhead cost/ Estimated total amount of the allocation
12,000 / 2000 = 6
