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son's Netballs is a manufacturer of high-quality basketballs and volleybal Setup costs are driven by the number of batches Equipment and maintenance costs increase with

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son's Netballs is a manufacturer of high-quality basketballs and volleybal Setup costs are driven by the number of batches Equipment and maintenance costs increase with the number of machine hours, and rent is paid per square foot. Capacity of the facility is 16,000 square feet and Zarson is using only 80% of this capacity Zarson records the cost of unused capacity as a separatelineem and not as a product The following is the budgeted information for Zarson Click the icon to view the budgeted infomon) Click the icon to view other information) d the girements quirement 1. Caloile the cost per unit of cost driver for each indirect cost pool Select the formula you will use the calculate the cost driver rate (Round your answers to the nearest cant Abbreviations used qu'equipment, maint e nance) Cost driver rate Setup Equip and Maint Lease rente Requirement 2. What is the b ed cost of red capacity See the formula you were the cost of unused m y Cost of unused city volleyballs? (Enter the cost per un to Requirement 3. What is the budgeted total cost and the cost per unit of resources and to produce(a) basketbols and Basketball Volleyball Total Choose from any sto r y number in the mout beds and then continue to the next question ! SILEIR W 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) Basketballs Volleyballs Total Direct materials Direct manufacturing labor Setup Equipment and maintenance Lease rent, etc. Budgeted total costs Number of units Budgeted cost per unit Requirement 4. Why might excess capacity be beneficial for Zarson? What are some of the issues Zarson should consider before increasing production to use the space? Why might excess capacity be beneficial for Zarson? (Select all that apply) A The company could consider adding a new product line. Choose from any list or enter any number in the input fields and then continue to the next question Rob Requirement 4. Why might excess capacity be beneficial for Zarson? What are some of the issues Zarson should consider before increasing production to use the space? Why might excess capacity be beneficial for Zarson? (Select all that apply.) A. The company could consider adding a new product line. B. The excess capacity is costing Zarson money and therefore, cannot be beneficial to Zarson C. Having excess capacity allows for the company to accept special orders if they are received. D. The excess capacity could allow for expanded production of either of the existing models What are some of the issues Zarson 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 D. None of the above. Choose from any list or enter any number in the input fields and then continue to the next question I WIERTNI Rob lock Juu, ali za SUP is using only 80% of this capacity. Zarson records th Data Table Zarson's Netballs Budgeted Costs and Activities For the Year Ended December 31, 2017 Direct materials-basketballs 237,100 Direct materials-volleyballs 656,800 Direct manufacturing labor-basketballs 105,300 Direct manufacturing labor-volleyballs 95,600 of Setup 147,000 Equipment and maintenance costs 122,400 ceas Lease rent 208,000 Beded Total 1,572,200 take or and Print Done SP $ elds and then continue to the next question. eyballs. Setup costs are driven by the number of batches. Equipment and mainter are feet, and Zarson is using only 80% of this capacity. Zarson records the cost of (Click the icon to view other information.) Data Table us Other budget information follows: Basketballs 63,000 14,500 Number of balls Machine-hours Number of setups Square footage of production space used Volleyballs 130,000 11,000 400 9,600 300 3,200 Print Biore would take in in rent if they opl to rent out the unused space labor and machine hours before increasing production to use the space. it fields and then continue to the next

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