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Abel Corporation uses activity-based costing. The company makes two products: Product A and Product B. The annual production and sales of Product A is 310

Abel Corporation uses activity-based costing. The company makes two products: Product A and Product B. The annual production and sales of Product A is 310 units and of Product B is 620 units. There are three activity cost pools, with total cost and activity as follows:

Total Activity
Activity Cost Pools Total Cost Product A Product B Total
Activity 1 $ 17,840 600 200 800
Activity 2 $ 31,320 1,650 1,250 2,900
Activity 3 $ 10,292 115 215 330

The activity rate for Activity 2 is closest to:

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