Matt Company uses activity-based costing. The company has two products: A and B. The annual production and sales of Product A is 10,000 units and of Product B is 7,500 units. There are three activity cost pools, with total cost and total activity as follows:

		Total Activity
Activity Cost Pool	Total Cost	Product A	Product B	Total
Activity 1	$25,200	130	430	560
Activity 2	$39,960	820	290	1,110
Activity 3	$145,215	820	3,790	4,610

The activity-based costing cost per unit of Product A is closest to: (Round your intermediate calculations to 2 decimal places.)

	$2.02
	$16.07
	$6.12
	$2.22

The activity rates for each activity cost pool are computed as follows:

	Total Cost	Total Activity	Activity Rate
Activity 1	$25,200	560	$45.00
Activity 2	$39,960	1,110	$36.00
Activity 3	$145,215	4,610	$31.50

The overhead cost charged to Product A is:

	Activity Rate	Activity	ABC Cost
Activity 1	$45.00	130	$5,850
Activity 2	$36.00	820	$29,520
Activity 3	$31.50	820	$25,830
			$61,200

Cost per unit = $61,200 ÷ 10,000 units = $6.12 per unit