PROBLEM (1776) a's Netball is a manufacturer of high-quality basketballs and volleyballs. Zarson used the simple costing system with two direct costs and a single indirect cost pool with the machine hours as the cost allocation base. In 2017, the Controller of the company discovered that the costing system was not so ste and it affected the profitability of the company. So he decided to refine the costing system in 2017 by increasing the number of indirect cost pool from a single cost pool to three indirect cost pools ( Setup Equipment and maintenance, and Lease rent) Setup costs are driven by the number of setups Fquipment and maintenance costs increase with the number of machine-hours, and Lease rent is paid per square foot Zarson's Netballs The following is the budgeted information for Zarson: Budgeted Costs and Activities For the Year Ended December 31, 2017 Direct materials basketballs Direct materials volleyballs Direct manufacturing labor-basketballs: Direct manufacturing labor-volleyballs Setup Equipment and maintenance costs Lease rent Total Other budget information follows: Number of balls Machine-hours Number of setups Square footage of production space used Required $ 168,100 303,280 111,800 100,820 157,500 115,200 210,000 $1,166,700 Basketballs Volleyballs 58,000 85,000 13,500 10,500 450 300 3,200 8,000 1. Calculate the budgeted total cost and the budgeted cost per unit to produce Basketballs and Volleyballs if the company adopted a simple costing system with only a single indirect cost pool for the year 2017.(6%) a. Cale