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Dexman's Netballs is a manufacturer of high-quality basketballs and volleyballs. Setup costs are driven by the number of setups. Equipment and maintenance costs increase
Dexman's Netballs is a manufacturer of high-quality basketballs and volleyballs. Setup costs are driven by the number of setups. Equipment and maintenance costs increase with the number of machine-hours, and lease rent is paid per square foot. Capacity of the facility is 17,000 square feet, and Dexman is using only 80% of this capacity. Dexman records the cost of unused capacity as a separate line item and not as a product cost. The following is the budgeted information for Dexman: (Click the icon to view the budgeted information.) (Click the icon to view other information.) Read the requirements. Requirement 1. Calculate the cost per unit of cost driver for each indirect-cost pool. Select the formula you will use, then calculate the cost driver rate. (Round your answers to the nearest cent. Abbreviations used: "equip." equipment, "maint."- maintenance. For purposes of this requirement, ignore the cost of unused capacity in your computations.) Cost driver rate
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