Traditions Home Accessories Company manufactures pillows using an activity-based costing system to allocate all manufacturing conversion costs. The following information is provided for the month of June:

Activity	Estimated Indirect Activity Costs	Allocation Base	Estimated Quantity of Allocation Base
Materials handling	$3,000	Number of parts	6,000 parts
Assembling	$7,200	Number of parts	6,000 parts
Packaging	$4,000	Number of pillows	2,000 pillows

Each pillow consists of 3 parts; the total direct materials cost per pillow is $8.00.

What is the total cost of packaging per pillow?

Group of answer choices

$1.50

$3.60

$2.00

$10.00