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Gutsen Communications Inc. manufactures a scrambling device for cellular phones. The main component of the scrambling device is a very delicate part-DTV-12. DTV-12 requires

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Gutsen Communications Inc. manufactures a scrambling device for cellular phones. The main component of the scrambling device is a very delicate part-DTV-12. DTV-12 requires careful handlings during manufacturing. Once damaged, the part must be discarded. Only skilled laborers are hired to manufacture and install DTV-12. Damages still occur, however. The following are the operating data of Gutsen Communications Inc. for 2018 and 2019 relative to the insertion of DTV-12. 2018 2019 Number of phones manufactured Units of DTV-12 used Direct labor hours for DTV-12 insertion Total cost of DTV-12 units 606,000 730,000 960,300 1,000,000 1,850 2,655 $1,444,000 $2,334,000 Direct labor wage rate per hour $ 68.50 $ 84 The partial operational productivity ratio of DTV-12 in 2019 is: (Round calculations to 2 significant digits.) Multiple Choice 0.63 per unit.

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