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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 with
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 Overhead Cons Driver Quantity Components Changeover 599,250 Number of batches Machining 394, 201 Machine hours 9. 590 135, 700 Number of nocups 180 Finishing Welding 247, 940 Welding hours 4. 900 Inspecting Number of inspections Rework 25. 800 Rework orders 120 610, 040 Support Purchasing 191, 060 Purchase orders Providing space 21, 400 Marber of unies 4,200 Providing utilities 49, 240 Manber of units 1. 300 272, 200 Additional production information concerning its two product lines follows. Model 145 Model 213 Unien produced 1. 100 2. 800 Melding hours Batches 425 425 Number of inspections Machine hours 3. 250 5.940 Jewupa 90 Rework orders 48 Purchase orders 345 Required: I. 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 $200 for Model 145 and $113 for Model 212. 3. If the market price for Model 145 is $968.50 and the market price for Model 212 is $519.25, 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.) Model 145 Model 212 Activity Expected Costs Expected Activity Activity Rate Activity driver Overhead Activity driver Overhead incurred assigned incurred assigned Component Changeover 599.250 $50 Number of batches Machining 394.281 8,590 Machine hours Setups 335.700 180 Setups Finishing Welding 247.940 4.900 Welding hour Inspecting 136.300 485 Imapections Rework 25.800 120 Rework orders Support Purchasing 191,860 518 Purchase orders Providing space and utilities 80.840 4.200 Units Total overhead cost Total units produced Overhead cost per uni
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