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Way Cool produces two different models of air conditioners. The company produces the mechanical systems in its components department. The mechanical systems are combined
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. (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 Rework Support Purchasing Providing space Providing utilities Overhead Cost $ 453,000 301,800 225,500 Driver Number of batches Machine hours Number of setups Quantity 890 7,560 60 $ 980, 300 $ 180,300 235,000 61,600 Welding hours 5,000 Number of inspections 755 Rework orders 140 $ 476,900 $135,000 Purchase orders 473 32,300 Number of units 5,100 60,330 Number of units. 5,100 $227,630 Additional production information concerning its two product lines follows. Model 145 Model 212 Units produced 1,700 3,400 Welding hours 1,800 3,200 Batches 445 445 Number of inspections 485 270 Machine hours 2,310 5,250 Setups 30 30 Rework orders 100 40 Purchase orders 315 158
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