Exhibit 1. Existing Capacity Available and Used and Capacity Costs (Annual) Resource Practical Capacity Cost Driver Purchased Cost of Capacity Used Capacity Design/Drafting 20.000 Design hours $500.000 19.500 Engineering 15.000 Engineering hours $750,000 14,750 Fabrication 40.000 Number of parts $30,000 39,000 Powder coating 400.000 Square feet $1,800.000 210,000 Scheduling/setup 750 Job setups $756,000 640 General factory 80,000 Machine hours $2,400,000 64,000 Exhibit 2. Resource Needs for Potential New Products * Resource (Cost Level) Cost Driver Pool Shade Requirements Trellis Requirements Design Drafting product Design hours 30 20 Engineering product Fabrication ( Powder coating (unit) Scheduling Engineering hours 4 2 Number of parts 40 22 Square feet 1,600 170 Job setup 1 1 General factory an Machinehous 80 10 Pool Shade Trellis Selling price/unit $42,500 $4300 Material cast/unit $18,750 Desired Profit on Sales 0.30 Demand Pool shades 120 $700 Demand Tris 00 Exhibit 3. Purchase Price of Additional Capacity Capacity of Resource Design Drafting 2,000 Cost Driver Design hours Cost of Next Step $50,000 Engoing 2.000 Engineering hours $110.000 fabrication 3,000 Part $3.150 Powdercoating 20000 S $100,000 Sing 5.000 J $4,000 Cateral factory 2000 Machine s $36.000 MacBook Air Page < 00 DIL F4 FS 57 FR 80 000 066 F3 8 19