Galley Company, a manufacturer of small kitchen appliances, had the following activities, allocated costs, and allocation bases:

Activities	Allocated Costs	Allocation Base
Account inquiry (hours)	$78,000	2,000 hours
Account billing (lines)	$47,000	20,000 lines
Account verification (accounts)	$12,000	27,000 accounts
Correspondence (letters)	$11,000	1,600 letters

The above activities are carried out at two of its regional offices.

Activities	Northeast Office	Midwest Office
Account inquiry (hours)	160 hours	250 hours
Account billing (lines)	12,000 lines	8,000 lines
Account verification (accounts)	1,300 accounts	650 accounts
Correspondence (letters)	50 letters	150 letters

What is the cost per line for the account billing activity? (Round your answer to the nearest cent.)

A.

$3.90

B.

$2.35

C.

$39.00

D.

$23.50

Click to select your answer.