Hetcher's Netballs is a manufacturer of high-quality basketballs and volleyballs. Setup costs are driven by the number of batches. 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 Hetcher is using only 70% of this capacity. Hetcher records the cost of unused capacity as a separate line item and not as a product cost. The following is the budgeted information for Hetcher: 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.) Cost driver rate Data table x Data table Hetcher's Netballs Budgeted Costs and Activities Other budget information follows: Basketballs For the Year Ended December 31, 2017 Volleyballs 80,000 Number of balls 56,000 $ 185,840 Machine-hours 14,000 12,000 161,960 Number of setups 200 350 108,700 Direct materials-basketballs Direct materials-volleyballs Direct manufacturing laborbasketballs Direct manufacturing labor-volleyballs Setup Equipment and maintenance costs 3,340 110,300 Square footage of production space used 8,560 93,500 124,800 323,000 Lease rent Print Done $ 1,108,100 Total Hetcher's Netballs is a manufacturer of high-quality basketballs and volleyballs. Setup costs are driven by the number of batches. 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 Hetcher is using only 70% of this capacity. Hetcher records the cost of unused capacity as a separate line item and not as a product cost. The following is the budgeted information for Hetcher: Requirement 1. Calculate the cost per unit of cost driver for each indirect cost pool. Data table Select the formula you will use, then calculate the cost driver rate. (Round your answers to the nea Cost Total quantity of cost driver Other budget information follows: = Basketballs Setup Volleyballs $ 93,500 550 Number of balls 56,000 80,000 Equip. and Maint. $ 124,800 26,000 Machine-hours 14,000 12,000 Lease rent, etc. $ 323,000 17.000 Number of setups 200 350 Requirement 2. What is the budgeted cost of unused capacity? Square footage of production space used 3,340 8,560 Select the formula you will use, then calculate the cost of unused capacity. Cost of unused capacity - Data table X = For the Year Ended December 31, 2017 Direct materialsbasketballs $ 185,840 161,960 108,700 Direct materialsvolleyballs Direct manufacturing labor-basketballs Direct manufacturing labor-volleyballs Setup Equipment and maintenance costs 110,300 Help me solve this Etext pages Calculator 93,500 124,800 323,000 Lease rent $ 1,108,100 Total
