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 Cost Driver Quantity Components Changeover $ 460,000 Number of batches 910 Machining 302,000 Machine hours 3,500 Setups 229,000 Number of setups co $ 991,000 Finishing Welding $ 194,000 Welding hours 5,300 Inspecting 230,000 Number of inspections 875 Rework 62 500 Rework orders $ 456,500 Support Purchasing 5 142,000 Purchase orders 531 Providing space 31,50 Number of units Providing utilities 20.000 Number of units 4,760 $ 242,500 4,760 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 1,700 1.200 455 505 3,25e 3e 140 Model 212 3,060 4,100 455 370 5,330 30 60 177 Required: 1. Determine departmental overhead rates and compute the overhead cost per unit for each product line. Base your overhead assignment for the components department on machine hours. Use welding hours to assign overhead costs to the finishing department. Assign costs to the support department based on number of purchase orders. 2. Determine the total cost per unit for each product line if the direct labor and direct materials costs per unit are $230 for Model 145 and $180 for Model 212 3. If the market price for Model 145 is $875 and the market price for Model 212 is $330, determine the profit or loss per unit for each model Components department Finishing department Support department Model 145 Activity Driver Departmental OH Rate Total Overhead Cost Components Finishing Support Model 212 Activity Driver Departmental OH Rate Total Overhead Cost Components Finishing Support Required 2 > Model 145 Model 212 Materials and Labor per unit Overhead cost per unit Total cost per unit Model 145 Model 212 Market price per unit Cost per unit Profit (loss) per unit