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Orzel Corporation has provided the following data concerning its overhead costs for the coming year:

Orzel Corporation has provided the following data concerning its overhead costs for the coming year:
  Wages and salaries 240,000
  Depreciation 120,000
  Rent 180,000
  Total 540,000
The company has an activity-based costing system with the following three activity cost pools and estimated activity for the coming year:
  
  Activity Cost Pool Total Activity
  Assembly 10,000 labor-hours
  Order processing 500 orders
  Other Not applicable
The Other activity cost pool does not have a measure of activity; it is used to accumulate costs of idle capacity and organization-sustaining costs.
The distribution of resource consumption across activity cost pools is given below:
  
    Activity Cost Pools
    Assembly Order Processing Other Total
  Wages and salaries 30% 50% 20% 100%
  Depreciation 15% 35% 50% 100%
  Rent 5% 65% 30% 100%
The activity rate for the Assembly activity cost pool is closest to:
   2.70 per labor-hour
   16.20 per labor-hour
   9.90 per labor-hour
   9.00 per labor-hour

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