Elegant Seating Ltd. produces two types of sofas: Luxury and Standard. The manufacturing overhead costs are distributed to the products at a rate of RM 50 per machine hour. The production information for the two models is as follows: Luxury Standard Direct materials (per unit) RM 70 RM 40 Direct labor (per unit) RM 45 RM 30 Total Units 8,000 12,000 Machine hours (per unit) 2 1