Ice Cool produces two different models of air conditioners. The activities, costs, and cost drivers associated with the production processes follow. Budgeted Activity Process Assembly Activity Machining Budgeted Cost Setups $ 310,200 20,000 Activity Cost Driver Machine hours (MH) Usage 7,400 Setups 240 $ 330,200 Finishing Inspecting $ 224,000 Inspections 880 Support Purchasing $ 132,000 Purchase orders 510 Additional production information concerning its two models follows. Units and Activities Units produced Machine hours Inspections Setups Purchase orders Model X Model Z 1,600 3,200 2,200 5,200 80 160 520 360 340 170 Per Unit Model X Model Z Selling price per unit $ 420 $ 400 Direct materials cost per unit 160 115 Direct labor cost per unit 140 125 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 gross profit per unit (selling price per unit minus product cost per unit).