A company has two products: A and B. It uses activity-based costing and has prepared the following analysis showing budgeted cost and activity for each of its three activity cost pools:

				Budgeted Activity
Activity Cost Pool	Budgeted Cost			Product A			Product B
Activity 1	$	99,000			4,200			4,000
Activity 2	$	74,000			5,700			6,700
Activity 3	$	117,000			3,700			6,450

Annual production and sales level of Product A is 35,500 units, and the annual production and sales level of Product B is 70,750 units. What is the approximate overhead cost per unit of Product B under activity-based costing?

Multiple Choice

• $12.07

• $10.27

• $2.30

• $3.59

• $1.68