Washington, Inc. produces two different products (Product C and Product 2) using two different activities: Machining, which uses machine hours as an activity driver, and Inspection, which uses number of batches as an activity driver. The cost of Machining is $916,300, while the cost of Inspection is $33,150. The activity drivers are used as follows:

	Product C	Product 2	Total
Machine hours	1,800	3,100	4,900
Number of batches	46	19	65

What is the activity rate for Machining?

Multiple Choice

• $187.00 per machine hour

• $262.00 per machine hour

• $509.06 per machine hour

• $296.00 per machine hour