GRADE VALUE 2% Q1. Data Source Media manufactures cassettes and CDs in separate divisions utilizing one plant location. The following data have been prepared for review. Fixed operation costs Practical capacity Budgeted usage Cassette Division CD Division Budgeted variable cost per hour a. $450,000 1,250 hours 1,000 hours 175 hours $600 per hour What is the total cost per hour of use for the Cassette Division assuming budgeted usage is the allocation base and a single-rate method is used? b. What is the total cost per hour of use for the CD Division assuming the budgeted rate is used for variable costs and practical capacity is the allocation base for fixed costs?