f. Selection of the Most Profitable Product DVD Production Company produces two basic types of video games, Flash and Clash. Pertinent data for DVD Production Company follow: Flash $ 390 Clash Sales price Costs 230 Direct materials Direct labor ($34/hr.) Variable factory overhead* Fixed factory overhead* Marketing costs (all fixed) 85 68 34 20 45 34 17 Total costs $ 217 116 Operating profit $ 173 114 "Based on labor-hours: 2 DLHs per unit of Flash, and 1 DLH per unit of Clash. The DVD game craze is at its height so that either Flash or Clash alone can be sold to keep the plant operating at full capacity. However, labor capacity in the plant is insufficient to meet the combined demand for both games. Flash and Clash are processed through the same production departments. Required: 2a. Calculate the contribution margin per labor hour for both Flash and Clash. (Enter all amounts as positive values.) Flash Clash Contribution margin per labor hour 2b. Which product should be produced? Flash Clash