Panamint Systems Corporation is estimating activity costs associated with producing disk drives, tapes drives, and wire drives. The indirect labor can be traced to four separate activity pools. The budgeted activity cost and activity base data by product are provided below. Activity Cost Activity Base Procurement $369,800 Number of purchase orders Number of production orders Scheduling $227,400 Materials handling $413,100 Number of moves Product development $758,400 Number of engineering changes Production $1,449,200 Machine hours Number of Number of Number of Number Number Purchase Production of Engineering Machine of Orders Orders Changes Units Moves Hours Disk drives 3,900 1,600 2,200 330 1,490 11 Tape drives 1,800 235 680 8 9,000 3,700 Wire drives 4,000 11,500 890 23 11,300 2,800 Determine the activity rate for production per machine hour. a. $66.95 b. $66.17 C. $133.12 d. $21.5