McCaskey Corporation uses an activity-based costing system with the following three activity cost pools:

Activity Cost Pool	Total Activity
Fabrication	10,000	machine-hours
Order processing	125	orders
Other	N/A

The Other activity cost pool is used to accumulate costs of idle capacity and organization-sustaining costs.

The company has provided the following data concerning its costs:

Wages and salaries	$486,000
Depreciation	149,000
Occupancy	134,000
Total	$769,000

The distribution of resource consumption across activity cost pools is given below:

	Activity Cost Pools
	Fabrication	Order Processing	Other	Total
Wages and salaries	5%	75%	20%	100%
Depreciation	10%	30%	60%	100%
Occupancy	10%	70%	20%	100%

The activity rate for the Fabrication activity cost pool is closest to:

$5.26 per machine-hour

$19.23 per machine-hour

$1.39 per machine-hour

$2.99 per machine-hour