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Sctwitz Electronics manufactures two ulua high-definition televislon models the Royale which sel6 for 51,580 , and ancw model the Majestic, whichsels for $1,270. The production

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Sctwitz Electronics manufactures two ulua high-definition televislon models the Royale which sel6 for 51,580 , and ancw model the Majestic, whichsels for $1,270. The production cost cornputed per unit under traditionul costine for each model in 2080 was as followe. in 2020,5chuitz manyfactured 25,000 units of the Rcyale and 10.000 wevis of the Majestic. The overhead rate uf 440 per direct iabor hcur was determined by dividing total estimated marnifacturing overhead of 57,949,600 by the total direct labor houn? 3200,000 for the two modyd Under traditicnal costing the gross proft on the inodela was Royale 5590(5159051000) he Majk2tic 5540(51,27037390 pecaube of this difference management is conelderire phatingout the Royalemodel and incr cosing the producticn of the Maleatic incosis convelef aceumulates the following informationabout overhead for the vear ended Decercoer 312020 The cost dr wersused for each product were (a)

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