Exhibit 1	Existing Capacity Available and Used and Capacity Costs
		Current capacity and usage (annual)
Resource	Practical Capacity	Cost Driver	Purchased Cost of Capacity	Used Capacity
Design/Drafting	20,000	design hours	$ 500,000.00	19,500
Engineering	15,000	engineering hr	$ 750,000.00	14,750
Fabrication	40,000	parts	$ 30,000.00	39,000
Powder coating	400,000	square feet	$ 1,800,000.00	210,000
Scheduling	750	job setups	$ 756,000.00	640
General factory	80,000	machine hrs	$ 2,400,000.00	64,000
Exhibit 2	Resource needs for potential new products
	Cost Driver	Pool shade requirements	Trellis requirements
Resource
Design/Drafting	design hours	30	20
Engineering	engineering hrs	4	2
Fabrication	parts	40	22
Powder coating	square feet	1600	170
Scheduling	job setups	1	1
General factory	machine hrs	80	10
	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

3a)	Compute the unit throughput margin for each product.
		i. Pool Shade	ii. Trellis
3b)	Assume that the powder coating process is the binding constraint and that additional capacity is difficult or too costly to purchase,
	determine which product Chandler Corp. should conside making first. Explain how/why you came to this conclusion. Also show your
	computations (3 decimal places) to support your conclusion.
3c)	Assume the that powder coating process is the binding constraint, and that additional capacity is difficult or too costly to purchase,
	determine what mix of products should be made with the existing excess capacity.
						Pool
						Shades	Trellises
3d)	Determine the incremental throughput margin Chandler Corp. would earn if they sold the mix determined in 3c
	(show computations).