Watson's Computer Company uses ABC to account for its manufacturing process.

Activities	Indirect activity budget	Allocation base (cost driver)
Materials handling	$54,000	Based on number of parts
Machine setup	$26,000	Based on number of setups
Assembling	$9,850	Based on number of parts
Packaging	$14,700	Based on number of finished units

Watson's Computer Company expects to produce 2,910 computers. Watson's Computer Company also expects to use 14,000 parts and have 40 setups. The allocation rate for packaging is (Round all answers to two decimal places.)

A.

$8.93

B.

$3.86

C.

$6.18

D.

$ 5.05