Jeeler'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 14,000 square feet, and Jeeler is using only 80% of this capacity. Jeeler records the cost of unused capacity as a separate line item and not as a product cost. The following is the budgeted information for Jeeler:

1.	Calculate the budgeted cost per unit of cost driver for each indirect cost pool.
2.	What is the budgeted cost of unused capacity?
3.	What is the budgeted total cost and the cost per unit of resources used to produce (a) basketballs and (b) volleyballs?
4.	Why might excess capacity be beneficial for Jeeler? What are some of the issues Jeeler should consider before increasing production to use the space?

i Data Table Jeeler's Netballs Budgeted Costs and Activities For the Year Ended December 31, 2017 Direct materialsbasketballs Direct materials-volleyballs Direct manufacturing laborbasketballs Direct manufacturing labor-volleyballs Setup Equipment and maintenance costs 168,310 376,050 100,200 100,640 199,500 90,300 238,000 1,273,000 Lease rent Total Print Done i Data Table Jeeler's Netballs Budgeted Costs and Activities For the Year Ended December 31, 2017 Direct materialsbasketballs Direct materials-volleyballs Direct manufacturing laborbasketballs Direct manufacturing labor-volleyballs Setup Equipment and maintenance costs 168,310 376,050 100,200 100,640 199,500 90,300 238,000 1,273,000 Lease rent Total Print Done