Ch 04 Ex 4-7 A Saved Help Save & Exit Submit Check my work Exercise 04-8 Using the plantwide overhead rate to assess prices LO P1 points Way Cool produces two different models of air conditioners. The company produces the mechanical systems in its components department. The mechanical systems are combined with the housing assembly in its finishing department. The activities, costs, and drivers associated with these two manufacturing processes and the production support process follow. (Loss amounts should be indicated with a minus sign. Round your intermediate calculations and round "Cost per unit and OH rate" answers to 2 decimal places.) eBook Process Activity Components Changeover Machining Setups Quantity 770 7,590 180 Hint Finishing Welding Inspecting Rework Overhead Cost Driver $ 453,000 Number of batches 301,600 Machine hours 226,000 Number of setups $ 980,600 $ 181,000 Welding hours 224,000 Number of inspections 60,550 Rework orders $ 465,550 $ 137,500 Purchase orders 32,000 Number of units 60,760 Number of units $ 230,260 5,000 820 260 Ask Support Purchasing Providing space Providing utilities 548 5,100 5, 100 Print References Additional production information concerning its two product lines follows. Units produced Welding hours Batches Number of inspections Machine hours Setups Rework orders Purchase orders Model 145 1,700 2,200 385 475 2,340 Model 212 3,400 2,800 385 345 5,250 90 120 183 90 140 365 Required: Mc Graw HIIL Education Ch 04 Ex 4-7 A Saved Help Save & Exit Submit Check my work Required: 1. Using a plantwide overhead rate based on machine hours, compute the overhead cost per unit for each product line. points eBook 2. Determine the total cost per unit for each product line if the direct labor and direct materials costs per unit are $260 for Model 145 and $190 for Model 212. ot Hint Overhead Assigned Activity Driver Plantwide OH rate Total Overhead Cost Units Produced OH Cost per unit Model 145 Model 212 Ask Model 145 Model 212 Print References 3. If the market price for Model 145 is $749 and the market price for Model 212 is $510, determine the profit or loss per unit for each model. Model 145 Model 212 Market price Mc Graw HIIL Education |