Question

Macon Publishing reports the following information about resources. At the beginning of the year, Macon estimated it would spend $59,345 for setups and $19,000 for clerical. Cost Driver Rate Volume Resources used Setups $ 330 /run 185 runs Clerical $ 35 /page 450 pages typed Resources supplied Setups $ 62,345 Clerical 18,000 Compute unused resource capacity for clerical for Macon Publishing.

Answer 1

Unused resource capacity for clerical for Macon Publishing is $2,250

Step-by-step explanation:

In order to calculate the unused resource capacity for clerical for macon publishing we would have to use the following formula:

unused resource capacity for clerical=clerical resource supplied-clerical resource used

Therefore, unused resource capacity for clerical= $18,000 - ($35 per page × 450 pages typed)

unused resource capacity for clerical=$18,000-$15,750

unused resource capacity for clerical=$2,250

Unused resource capacity for clerical for Macon Publishing is $2,250