Gunnison Supply provides the following information about resources:

In addition, sales for the period totaled $600,000.
Required

a. Compute unused resource capacity for each resource.

b. Describe what the term unused resource capacity means.

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Resources used Materials Energy Setups Purchasing Customer service Long-term labor Administrative Resources supplied Materials Energy Cost Driver Rate $ 12 per pound 48 per machine-hour 300 per setup 240 per purchase order 160 per return 80 per labor-hour 60 per labor-hour $ 192,000 Cost Driver Volume 16,000 pounds 680 machine-hours 160 setups 160 purchase orders 100 returns 640 labor-hours 840 labor-hours Setups Purchasing Customer service Long-term labor Administrative 36,480 50,400 44,000 35,200 53,000 54,000