A company uses activity-based costing to determine the costs of its three products: A, B, and C. The budgeted cost and activity for each of the company's three activity cost pools are shown in the following table:

		Budgeted Activity
Activity Cost Pool	Budgeted Cost	Product A	Product B	Product C
Activity 1	$75,000	6,500	9,500	20,500
Activity 2	$50,000	7,500	15,500	8,500
Activity 3	$92,000	3,000	1,500	2,125

Which of the following statements is true regarding this company's activity rates?

The activity rate under the activity-based costing system for Activity 2 is $2.05.

The activity rate under the activity-based costing system for Activity 2 is $13.89.

The activity rate under the activity-based costing system for Activity 2 is $1.59.

The activity rate under the activity-based costing system for Activity 2 is $17.53.

The activity rate under the activity-based costing system for Activity 2 is $3.02.