Answer:
Schultz Electronics
                                   Royale      Majestic 
Cost per unit cost   $971.35    $841.55
Explanation:
a) Data and Calculations:
Information about overhead for the year ended December 31, 2017.
Activity Cost  Cost Drivers      Estimated       Expected Use   Activity-Based 
   Pools                                      Overhead    of Cost Drivers     O/H Rate
Purchasing    No. of orders   $1,261,700            40,700             $31/order
Machine        
 setups          No. of setups       874,120              16,810             $52/setup
Machining    Machine hours 5,440,500          120,900             $45/hour
Quality          Number of
 control           inspections       872,900            30,100         $29/inspection
Total overhead costs         $8,449,220
The cost drivers used for each product were:
Cost Drivers         Royale         Majestic      Total
Purchase orders  17,600          23,100      40,700
Machine setups    14,510          2,300        16,810
Machine hours    75,300        45,600    120,900
Inspections           11,900         18,200      30,100
Allocation of overhead costs:
Cost Drivers               Royale                         Majestic                    Total
Purchasing     $545,600 (17,600*$31)     $716,100 (23,100 *$31) $1,261,700
Machine setup 754,520 (14,510*$52)       119,600 (2,300*$52)       874,120
Machining     3,388,500 (75,300*$45) 2,052,000 (45,600*$45) 5,440,500
Quality Control 345,100 (11,900*$29)      527,800 (18,200*$29)    872,900
Total            $5,033,720                       $3,415,500                     $8,449,220
Quantity           25,000                              10,000
Overhead per
   unit            $201.35                               $341.55
Cost per unit of each model, using ABC Costing Technique:
                                              Royale       Majestic   
Direct materials                    $650        $420
Direct labor ($20 per hour)    120           100
Manufacturing overhead       201.35      341.55
 ($42 per DLH)
Total per unit cost               $971.35    $841.55