Exhibit 1	Existing Capacity Available and Used and Capacity Costs		Additional Computations:
		Current capacity and usage (annual)
Resource	Practical Capacity	Cost Driver	Purchased Cost of Capacity	Used Capacity	number of employees		current per driver		Label	excess
Design/Drafting	20,000	design hours	$ 500,000.00	19,500	10		$ 25.00		/des. hr	500
Engineering	15,000	engineering hr	$ 750,000.00	14,750	6		$ 50.00		/eng. hr	250
Fabrication	40,000	parts	$ 30,000.00	39,000	40		$ 0.75		/part	1,000
Powder coating	400,000	square feet	$ 1,800,000.00	210,000			$ 4.50		/sq.ft.	190,000
Scheduling	750	job setups	$ 756,000.00	640	3		$ 1,008.00		/set up	110
General factory	80,000	machine hrs	$ 2,400,000.00	64,000			$ 30.00		/mach hr	16,000
Exhibit 2	Resource needs for potential new products		Additional Computations:
	Cost Driver	Pool shade requirements	Trellis requirements	120 Pool shade	60 Trellis		Full demand for both
Resource				Pool	Trellis		Both		Excess	Need additional resources?
Design/Drafting	design hours	30	20	30	20		50		500
Engineering	engineering hrs	4	2	4	2		6		250
Fabrication	parts	40	22	4800	1320		6120		1,000	5120
Powder coating	square feet	1600	170	192000	10200		202200		190,000	12200
Scheduling	job setups	1	1	120	60		180		110	70
General factory	machine hrs	80	10	9600	600		10200		16,000
	Pool shade	Trellis		Desired profit on sales		0.30
Selling price per unit	42,500.00	4,300.00		Demand	Pool shades	120
Material cost per unit	18,750.00	700.00		Demand	Trellises	60

Please assist with the following question. Thank You

Compute the total and unit cost of making the full demand of trellises assuming that Chandler bases its rates
on practical capacity.
ABC - Practical Capacity			Total	Total Cost
			Activity		Trellis	for
Activity	Rate	Label	Requirement	Trellises
Design/Drafting				/des. hr
Engineering				/eng. hr
Fabrication				/part
Powder coating				/sq.ft.
Scheduling				/set up
General factory costs				/mach hr
Material				/unit
Total Cost							Total cost
Number of units							units
Unit cost for a Trellis							Cost/unit