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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

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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 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 Overhead Cost Driver Quantity Components Changeover $ 458,500 Number of batches 710 Machining 301,200 Machine hours 7,490 Setups 229,500 Number of setups 40 $ 989,200 Finishing Welding $ 181,300 Welding hours 4,900 Inspecting 234,000 Number of inspections Rework 60,650 Rework orders $ 475,950 Support Purchasing $ 134,500 Purchase orders 503 Providing space 32,250 Number of units 5,400 Providing utilities 60,990 Number of units 5,400 $ 227,740 845 220 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 1,800 1,800 355 510 2,290 20 130 335 Model 212 3,600 3,100 355 335 5,200 20 90 168 1. Using a plantwide overhead rate based on machine hours, 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 $260 for Model 145 and $130 for Model 212. Activity Driver Plantwide OH rate Total Overhead Cost Units Produced OH Cost per unit Overhead Assigned Model 145 Model 212 Model 145 Model 212 3. If the market price for Model 145 Is $744 and the market price for Model 212 is $490, determine the profit or loss per unit for each model. Model 145 Model 212 Market price

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