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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 Driver Number of batches Machine hours Overhead Cost Quantity Machining Setups $452,500 300,800 810 7,580 228,500 Number of setups 100 $981,800 Finishing Welding $ 180,400 Welding hours 4,900 Inspecting Rework 223,000 Number of inspections 815 61,950 Rework orders 200 $465,350 Support Providing space Purchasing $135,000 Purchase orders 525 31,650 Number of units 6,300 Providing utilities 60,230 $226,880 Number of units 6,300 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 Model 212 2,100 4,200 1,800 3,100 405 405 470 345 2,280 5,300 50 50 120 80 350 175
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