Way Cool produces two different models of air conditioners. The company produces the mechanical systems in their 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. Process Activity Components Changeover Machining Setups Driver Number of batches Machine hours Number of setups Quantity 790 8,360 140 Finishing Welding Inspecting Rework Overhead Cost $ 446,350 384,560 254,800 $1,085,710 $ 428,340 257,300 46,200 $ 731,840 $ 157,990 30,400 81,200 $ 269,590 Welding hours Number of inspections Rework orders 6,600 830 220 Support Purchasing Providing space Providing utilities Purchase orders Number of units Number of units 518 6,000 6,000 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 2,600 395 480 3,050 70 170 Model 212 4.000 4,000 395 350 5,310 70 50 173 Required: 1. Using ABC, compute the overhead cost per unit for each product line 2. Determine the total cost per unit for each product line if the direct labor and direct materials costs per unit are $210 for Model 145 and 5113 for Model 212 3. If the market price for Model 145 is $703.88 and the market price for Model 212 is $388.61 determine the profit or loss per unit for each model Required 1 Required 2 Required 3 Model 212 Activity driver Overhead incurred assigned Using ABC, compute the overhead cost per unit for each product line. (Round your final answers to 2 decimals places.) Model 145 Activity Expected Costs Overhead Expected Activity Activity driver Activity Rate incurred Components Changeover 5 106350 790 Number of batches Machining 384560 8.360 Machine hours Setups 254.000 140 Setups Fishing Welding $ 428.340 6.600 Welding hours Inspecting 257 300 3.30 inspections Rework 15,200 220 Rework orders Support Purchasing S 157.990 518 Purchase orders Providing space and 111.000 5000 Units Toledo Total produced Ovend content Required 1 Required 2 Required 3 Determine the total cost per unit for each product line if the direct labor and direct materials costs per unit are $210 for Model 145 and $113 for Model 212. (Round your final answers to 2 decimal places.) Model 145 Model 212 Materials and Labor per unit Overhead cost per unit Total cost per unit Required 1 Required 2 Required 3 If the market price for Model 145 is $703.88 and the market price for Model 212 is $388.61, determine the profit or loss per unit for each model. (Round your final answers to 2 decimal places.) Model 145 Model 212 Price per unit Cost per unit Profit (los) per unit
