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. Process Activity Components Changeover Machining Setups Driver Number of batches Machine hours Number of setups Quantity 870 8,360 160 Finishing Welding Inspecting Rework Overhead Cost $ 561,150 388,740 303,200 $1,253,090 $ 333,690 341,250 51,700 $ 726,640 $ 167,895 30,400 109,850 308,145 Welding hours Number of inspections Rework orders 4,900 875 220 Support Purchasing Providing space Providing utilities 533 Purchase orders Number of units Number of units 7,500 7,500 Additional production information concerning its two product lines follows. Model 145 Model 212 Units produced 2,500 5,000 Welding hours 1,600 3,300 Batches 435 435 Number of inspections 505 370 Machine hours 3,050 5,310 Setups BO 80 Rework orders 150 70 Purchase orders 355 178 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 $240 for Model 145 and $119 for Model 212. 3. If the market price for Model 145 is $670.00 and the market price for Model 212 is $362.15, determine the profit or loss per unit for each model Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Using ABC, compute the overhead cost per unit for each product line. (Round your final answers to 2 decimal places.) Expected Costs Expected Activity Activity Rate Model 145 Activity driver Overhead incurred assigned $ 561,150 388,740 303,200 870 Number of batches 8,300 Machine hours 100 Setups Activity Components Changeover Machining Setups Finishing Welding Inspecting Rework Support Purchasing Providing space and utilities $ 333,690 341,250 51,700 4,900 Welding hours 875 Inspections 220 Rework orders $ 167,895 140,250 533 Purchase orders 7.500 Units 0 Total Overhead cost Total units produced Overhead cost per unit Required 2 > (Round your final answers to 2 decimal places.) Activity Activity Rate Model 145 Activity driver Overhead incurred assigned Model 212 Activity driver Overhead Incurred assigned mber of batches achine hours etups Velding hours nspections Rework orders Purchase orders Units $ 0 $ 0 Total overhead cost Total units produced Overhead cost per unit Required 2 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 $240 for Model 145 and $119 for Model 212. 3. If the market price for Model 145 is $670.00 and the market price for Model 212 is $362.15, determine the profit or loss per unit for each model Complete this question by entering your answers in the tabs below. 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 $240 for Model 145 and $119 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
