The activity rate for the Machine Setups activity cost pool under activity-based costing is closest to:

A) $65.34 per setup
B) $53.07 per setup
C) $72.34 per setup
D) $15.39 per setup

Activity Rate

The cost driver rate that is used in activity-based costing to allocate overhead costs to products or services.

Activity Cost Pool

A grouping of all costs related to a specific activity or process in a company, used in activity-based costing.

Activity-Based Costing

A costing method that assigns costs to products based on the activities that go into making them, providing a more detailed measure of costs.