Baba Rabber Company (C) Selling p Dhent mateials Dent labor Drect labor how's per t $2,000 $11.40 $170 you The copy prided the g Modios Hung 16.109 35830 513 AN 37240 140 $1930 30.40 5640 1540 The following doonal information available The company's plant has a capacity 100,000 des lae hos per yea The direct labor rate of $16 per hoe is expected single hil ba The remain unchanged during the coming ye Fixed cost total $520,000 per yea Varable overhead costs a $4 pes de las o d All the company's monafting costs are fixed Required 1. How much variable overhead cost is incend to manufacture one unit of each of de company's dere product? 2. Assuming that direct labor-hours is the company's constraining resor, what is de contribution margin per deres labor-ho for each of the company's these products Rack them in terms of profitability? 3. Which product has the largest contribution margin per unit? Why wouldn't this product be the most profitable use of the st For the toolbar, press ALT+F10 (PC) or ALT+NM Baham Rubber Company (C) of formy's al sales and production uux f the coming year The company peded the allowing date Product Selling pe Duet maals Daret labor Drect labor hours per t 16.000 Man he w 3000 $1340 $53.20 $800 517 AM $12 NO 52240 1.40 135.000 $19 20 36 401 $0.40 0.40 The following additional information is available The company's plant has a capacity 100,000 direct labor hours per year on a single shaft basis. The company's present employees an h. The direct labor rate of $16 per hour is expected to remain unchanged during the coming yea Fand cost total $520,000 per year Variable overhead costs a 54 per direct labor bot d. All the company's momagisfacturing costs are fixed Required: 1. How much variable overhead cost is incurred to manufacture oor unit of each of the company's the products? 2. Assuming that direct labor hours is the company's constraining resource, what is the contribution margin per direct labor hour for each of the company's three products? Rank them in terms of profitability? 3. Which product has the largest contribution margin per unit? Why wouldn't this product be the most profitable use of the constrained source in either case For the toolbar, press ALT+F10 (PC) or ALTEN+F10 (Mac) BIUS Paragraph Arial 10pt v XX The r A 2 Ix BY a B Selling powe Danct materiale Direct labor Direct labor hours per unit $2,006 $1140 $ 60 $12 NO O NO 16.000 $1530 312 38 12740 140 119.30 56 40 56 40 40 The following additional information is available a The company's plant has a capacity 100,000 direct labor hours per you on a single dull bass The my's pyes b. The direct labor rate of $16 per hour in expected to remain unchanged during the coming y Fixed cost total $520,000 per year Variable overhead costs are $4 per direct laber be d. All the company's nowmanufacturing costs are fixed Required: 1. How much variable overhead cost is incurred to manufacture one unit of each of the company's three products 2. Assuming that direct labor-bours is the company's constraining resource, what is the contribution margin per duect labor hour for each of the comp them in terms of profitability? 'se pod Bank 3. Which product has the largest contribution margin per unit? Why wouldn't this product be the most profitable use of the constrained voce in cer case For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac) BIUS Paragraph v Arial x x, (1) 10pt A~ 2- I. 3~ r "T BB