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Abbe Company uses activity - based costing. The company has two products: A and B . The annual production and sales of Product A is

Abbe Company uses activity-based costing. The company has two products: A and B. The annual production and sales of Product A is 800 units and of Product B is 600 units. There are three activity cost pools, with estimated costs and expected activity as follows:
Activity Cost Pools Estimated Overhead Cost Expected Activity
Product A Product B Total
Activity 1 $ 17,4606006001,200
Activity 2 $ 19,9871,7006002,300
Activity 3 $ 29,884400120520
The activity rate for Activity 2 is closest to:

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