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Way Cool produces two different models of air conditioners. The company produces the mechanical systems in their components department. The mechanical systems are combined
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. (Loss amounts should be Indicated with a minus sign. Round your Intermediate calculations and round "Cost per unit and OH rate" answers to 2 decimal places.) Process Activity Components Changeover Machining Setups Finishing Welding Inspecting Revork Support Purchasing Providing space Providing utilities Overhead Coat $500,000 279,000 225,000 Driver Quantity Number of batches 800 Machine hours 6,000 Number of setups 120 $1,004,000 $100,300 Welding hours 3,000 210,000 Number of inspections 700 75,000 Rework orders 300 465,300 $ 135,000 Purchase orders 450 32,000 65,000 Number of unita 5,000 Number of unite 5,000 5 232,000 Additional production information concerning its two product lines follows. Model 145 Model 212 Units produced 1,500 3,500 Welding hours 800 2,200 Batches 400 400 Number of inspections 400 300 Machine hours 1,800 4,200 Setups 60 60 Rework orders 160 1401 Purchase orders 300 150 Required: 1. Using a plantwide overhead rate based on machine hours, compute the overhead cost per unit for each duct line
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