Exercise 17-8 Using the plantwide overhead rate to assess prices LO P1 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 offrate" answers to 2 decimal places.) Process Activity Components Changeover Machining Setups Driver Number of batches Machine hours Number of setups Quantity 810 7,630 120 Finishing Welding Inspecting Rework Overhead Cost $ 451,000 301,200 227,500 $ 979,700 $ 180,500 232,600 61,100 $ 473,600 $ 138,000 30,600 60,960 $ 229,560 Welding hours Number of inspections Rework orders 5,500 810 188 Support Purchasing Providing space Providing utilities Purchase orders Number of units Number of units 548 6,eee 6. eee 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 2,000 2,6ee 485 475 2,280 5e 128 360 Model 212 4,000 2,900 405 335 5,350 6e 6e 188 ME Po Required: Answer is not complete. 1. Using a plantwide overhead rate based on machine hours, compute the overhead cost per unit for each product line Overhead costs 1.692.860 $ 220.56 per machine hour Machine hours 7,630 2. Determine the total cost per unit for each product line of the direct labor and direct materials costa per unit are $220 for Model 145 and 5190 for Model 212. Overhead Assigned Total Overhead Cost Model 145 Activity Plantwide OH Driver rate 2.280$ 220.56 5,350 $ 220.56 Units OH Cost per Produced 2.000 $ 251.43 4,000 $ 295.00 $ 502.877 1.179,996 Model 212 Model 145 Model 212 Total manufacturing cost per unit: Materials and Labor Overhead Total manufacturing cost 251.43 295.00 If the market price for Model 145 is 5731 and the market price for Model 212 is $470, determine the profit or lona per unit for each model Model 145 Model 212 Market price C Ps