Ice Cool produces two different models of air conditioners. The activities, costs, and cost drivers associated with the two manufacturing processes and the support process follow. Process Assembly Activity Machining Setups Budgeted Cost $ 312,000 26,000 Cost Driver Machine hours (MH) Number of setups Budgeted Activity Usage 7,800 60 $ 338,000 Finishing Support Inspecting Purchasing $ 222,000 $ 132,000 Number of inspections Purchase orders 820 510 Additional production information concerning its two models follows. Units and Activities Units produced Machine hours Setups Inspections Purchase orders Per Unit Model X 1,400 Model 2,800 2,400 5,400 20 40 460 360 340 170 Model x $405. Model z 160 $ 385 115 125 125 Selling price per unit Direct materials cost per unit Direct labor cost per unit 1. Compute the activity rate for each activity using activity-based costing. 2. Using activity-based costing, compute the overhead cost per unit for each model. 3. Compute the total product cost per unit for each model. 4. For each model, compute the selling price per unit minus product cost per unit.