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 Activity Quantity 910 7,780 160 Process Components Changeover Overhead Cost Driver $ 614,250 Number of batches Machining Setups 361,770 295,200 Machine hours Number of setups $1,271,220 Finishing Weldin 4,000 830 190 S 230,400 Welding hours Inspecting Rework 327,850 Number of inspections 57,000 Rework orders $ 615,250 Support Pchasing $ Providing space Providing utilities 185,440 Purchase orders 31.400 Number of units 3,800 Number of units 488 3,000 3,000 $ 240,640 Additional production information concerning its two product lines follows. Model 145 Model 212 Units produced Welding hours Batches Number of inspections Machine hours Setups Rework orders Purchase orders 1,000 1,000 455 460 2,450 80 80 325 2,000 3,000 455 370 5,330 80 110 163