Schultz Electronics manufactures two ultra high-definition television models: the Royale which sells for $1,480, and a new model, the Majestic, which sells for $1,320. The production cost computed per unit under traditional costing for each model in 2017 was as follows. Traditional Costing Royale Majestic Direct materials Direct labor ($20 per hour) Manufacturing overhead ($42 per DLH) Total per unit cost $650 120 252 $1,022 $410 100 210 $720 In 2017, Schultz manufactured 25,000 units of the Royale and 10,000 units of the Majestic. The overhead rate of $42 per direct labor hour was determined by dividing total expected manufacturing overhead of $8,446,800 by the total direct labor hours (200,000) for the two models. Under traditional costing, the gross profit on the models was Royale $458 ($1,480-$1,022) and Majestic $600 ($1,320 $720). Because of this difference, management is considering phasing out the Royale model and increasing the production of the Majestic model Before finalizing its decision, management asks Schultz's controller to prepare an analysis using activity-based costing (ABC). The controller accumulates the following information about overhead for the year ended December 31, 2017 Activity Estimated Expected Use of Activity-Based Overhead Overhead Rate Cost Pools Purchasing Machine setups Machining Quality control Cost Drivers Cost Drivers Number of orders Number of setups Machine hours Number of in $1,264,800 970,200 5,431,500 780,300 40,800 17,640 120,700 $31/order $55/setup $45/hour 28,900 $27/inspection The cost drivers used for each product were: Cost Drivers Royale Majestic Total Purchase orders Machine setups Machine hours Inspections 17,200 5,640 74,700 11,900 23,600 12,000 46,000 17,000 40,800 17,640 120,700 28,900 Assign the total 2017 manufacturing overhead costs to the two products using activity-based costing (ABC) and determine the overhead cost per unit. (Round cost per unit to 2 decimal places, e.g 12.25.) Royale Majestic Total assigned costs Cost per unit Calculate cost per unit of each model using ABC costing. (Round answers to 2 decimal places, e.g. 12.25.)