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3. Eastern Digital manufactures electronic equipment such as video recorders, considering manufacturing electronic planners and cameras but have the capacity to produce only one of

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3. Eastern Digital manufactures electronic equipment such as video recorders, considering manufacturing electronic planners and cameras but have the capacity to produce only one of them. Using the estimated costs of production and sales below, advice the management of Eastern Digital which product, if any, they should choose to manufacture, Support your answers with relevant figures Planners S100 2 $12 58 Cameras S120 4 S12 SII Materials (per unit) Labour hours Labour rate (per hour) Overhead charges (per unit) Depreciation on equipment (per month) Administrative costs (per month) Estimated sales (per month) Selling price (per unit) $200 S1.500 90 S210 S180 $1,500 50 S300 Solution to check Breakeven point for planners: 22 units; for cameras: 14 units Net income for planners: $ 5,320; for cameras: $4,370

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