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.

ActivityCostCost DriverMaterial handling$281,000Number of partsMaterial insertion3,060,000Number of partsAutomated machinery873,000Machine hoursFinishing194,000Direct labor hoursPackaging194,000Orders shippedTotal$4,602,000

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

EconomyStandardDeluxeUnits to be produced14,3009,7002,600Orders to be shipped1,910580270Number of parts per unit152025Machine hours per unit125Labor hours per unit333

What is Barnett's pool rate for the material-handling activity?

Multiple Choice

• $0.59 per part.
• $1.31 per part.
• $3.52 per labor hour.
• $7.03 per part.
• None of the answers is correct.