Prector's Netballs is a manufacturer of high-quality basketballs and volleybalis. Setup costs are driven by the number of setups. 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 Prector is using only 70% of this capacity Prector records the cost of unused capacity as a separate line item and not as a product cost. The following is the budgeted information for Prector (Click the icon to view other information.) (Click the icon to view the budgeted information.) Read the requirements. 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: " maintenance. For purposes of this requirement, ignore the cost of unused capacity in your computations.) Setup Equip. and Maint Lease rent, etc Requirement 2. What is the budgeted cost of unused capacity? Select the formula you will use, then calculate the cost of unused capacity Cost of unused capacity Cost driver rate equipment "maint Requirement 3. What is the budgeted total cost and the cost per unit of resources used to produce (a) basketballs and (b) volleyballs? (Enter the cost per unit to the nearest cent.) Direct materials Direct manufacturing labor Setup Equipment and maintenance Lease rent, etc. Basketballs Volleyballs Total Budgeted total costs Number of units Budgeted cost per unit Requirement 4. Why might excess capacity be beneficial for Prector? What are some of the issues Prector should consider before increasing production to use the space? Why might excess capacity be beneficial for Prector? (Select all that apply.) A. The excess capacity is costing Prector money and, therefore, cannot be beneficial to Prector. B. The excess capacity could allow for expanded production of either of the existing models. C. The company could consider adding a new product line. D. Having excess capacity allows for the company to accept special orders if they are received What are some of the issues Prector should consider before increasing production to use the space? (Select all that apply.) A. The company should consider the capital investment needed to start and support a new product line, as well as the demand for a new product. B. The company should considering how much they could take in in rent if they opt to rent out the unused space. C. The company should consider if there is available labor and machine hours before increasing production to use the space.