Barnett Products manufactures three types of remote-control devices: Economy, Standard, and Deluxe. The company, which uses activity-based costing, has identified five activities (and related cost drivers). Each activity, its budgeted cost, and related cost driver is identified below.

Activity	Cost	Cost Driver
Material handling	$	281,000			Number of parts
Material insertion		3,060,000			Number of parts
Automated machinery		873,000			Machine hours
Finishing		194,000			Direct labor hours
Packaging		194,000			Orders shipped
Total	$	4,602,000

The following information pertains to the three product lines for next year:

	Economy		Standard		Deluxe
Units to be produced		14,300				9,700				2,600
Orders to be shipped		1,910				580				270
Number of parts per unit		15				20				25
Machine hours per unit		1				2				5
Labor hours per unit		3				3				3

What is Barnetts pool rate for the packaging activity?

$2.29 per machine hour.

$2.43 per labor hour.

$7.03 per unit.

$70.29 per order shipped.

None of the answers is correct.