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 nts department. The activities, costs, and drivers associated with these two pped manufacturing processes and the production support process follow. Process Activity Overhead Cost Driver Quantity pok Components Changeover $ 472,000 930 nt Machining 309,000 Number of batches Machine hours Number of setups 8,340 sk Setups 140 225,000 $1,006,000 nt Finishing Welding $ 190,000 Inspecting 225,000 Welding 4,700 hours Number of 860 inspections Rework 290 orders erenc Rework 62,000 $ 477,000 Support 149,000 495 34,500 Purchase orders Number of units Number of units Purchasing $ Providing space Providing utilities $ 5, 280 64,000 5, 280 247,500 Additional production information concerning its two product lines follows. Model 212 3,080 3,300 465 Model 145 Units 2,200 produced Welding 1,400 hours Batches 465 Number of 510 inspections Machine hours 3,050 Setups 70 Rework 160 orders Purchase 330 orders 350 5,290 70 130 165 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 $200 for Model 145 and $210 for Model 212. 3. If the market price for Model 145 is $950 and the market price for Model 212 is $310, determine the profit or loss per unit for each model. Components department 0 Finishing department 0 Support department 0 Model 145 Activity Driver Departmental OH Rate Total Overhead Cost $ 0 Components Finishing Support $ 0 0 Model 212 Activity Driver Departmental OH Rate Total Overhead Cost $ 0 Components Finishing Support $ 0 0 Required 1 Required 2 Required 3 Determine the total cost per unit for each product line if the dire 145 and $210 for Model 212. (Round your intermediate calculati Model 145 Model 212 Materials and Labor per unit Overhead cost per unit Total cost per unit Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 If the market price for Model 145 is $950 and the market price for Model 212 is $310, determine the profit or loss per unit for each model. (Loss amounts should be indicated with a minus sign. Round your intermediate calculations and final answers to 2 decimal places.) Model 145 Model 212 Market price per unit Cost per unit Profit (loss) per unit
