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: Activity Cost Pool Budgeted Activity Product B Product C Activity 1 Activity 2 Activity 3 Budgeted Cost Product A $70,000 6,000 $45,000 7,000 9,000 15,000 20,000 8,000 $82,000 2,500 1,000 1,625 Which of the following statements is true regarding this company's activity rates? Multiple Choice The activity rate under the activity-based costing system for Activity 2 is $2.81. The activity rate under the activity-based costing system for Activity 2 is $1.50. The activity rate under the activity-based costing system for Activity 2 is $2.00. The activity rate under the activity-based costing system for Activity 2 is $16.00. The activity rate under the activity-based costing system for Activity 2 is $19.50.