Solved: Compute unused resource capacity in energy and repairs, Cost Accounting

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Compute unused resource capacity in energy and repairs

Response to the following problem:

Tri-State Mill uses a special sander to finish lumber. Data on the sander and its usage follow:Cost Driver Rate ,Cost Driver Volume

Resources used energy................................$ 0.90 per machine-hour

4,000 machine-hou repairs.................................$ 16.00 per job

400 jobs Resources supplied.. Energy.................$4,000

Repairs....................................8,000

Required

Compute unused resource capacity in energy and repairs for Tri-State Mill.

Reference: Fundamentals of Cost Accounting-Publisher: McGraw-Hill Higher Education

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Cost Accounting: Compute unused resource capacity in energy and repairs

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