Durable Engines Company uses ABC to account for it manufacturing process.

Activities Indirect activity budget Allocation base (cost driver) Materials handling $ 36,000 Based on number of parts Machine setup $ 19,200 Based on number of setups Assembling $ 6,000 Based on number of parts Packaging $ 12,800 Based on number of finished units

Activities	Indirect activity budget	Allocation base (cost driver)
Materials handling	$ 36,000	Based on number of parts
Machine setup	$ 19,200	Based on number of setups
Assembling	$ 6,000	Based on number of parts
Packaging	$ 12,800	Based on number of finished units

Durable Engines Company expects to produce 2,000 engines. Durable Engines Company also expects to use 12,000 parts and have 16 setups.

The allocation rate for packaging is:

Select one:

a. $3.00.

b. $5.28.

c. $9.60.

d. $6.40.