Holly Company manufactures three types of game console 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. Overhead Cost Driver Activity Cost Number of Material handling|$450,000 parts Number of Material insertion 2,500,000 parts Automated 11,680,000 Machine hours machinery Direct labour Finishing 340,000 hours Packaging 340,000 Orders shipped $3,880,000 The following information pertains to the three product lines for next year: Economy Standard Deluxe Units to be 10,000 $10,000 5,000 produced Orders to be 2,000 11,000 400 shipped Number of parts per 2 1 unit Machine hours per 2 10 unit Labour hours per 14 14 unit 6 What is Holly's cost pool activity rate for Material insertion? 1) $850 2) $340 31 $170 unit What is Holly's cost pool activity rate for Material insertion? 1) $850 2) $340 3) $170 4) $71.43