Flexible budget Tom's Shoe Repair provides a variety of shoe repair services. Analysis of monthly costs revealed the following cost formulas when direct labor hours are used as the basis of cost determination: Supplies y=$0-$4.00X Production supervision and direct labor y $500+ $7.00X Utilities y $350+ $5.40X Rent y $450 $0.00x y $75+ $0.00x Advertising a. Prepare a flexible budget at 150, 180, 210, and 240 direct labor hours. Variable costs: Supplies @ $4.00 per DLH Direct labor @$7.00 per DLH Utilities @$5.40 per DLH Fixed costs: Direct labor Utilities Rent Advertising Total cost 150 180 210 240 $ $ $ $ $ $ b. Calculate a total cost per direct labor hour at each level of activity. Round amounts to two decimal places. Cost per DLH $ 150 180 210 240 $ c. Tom's employees usually work 210 direct labor hours per month. The average shoe repair requires 1.25 labor hours to complete. Tom wants to earn a 40 percent margin on his cost. What should be the average charge per customer, rounded to the nearest dollar to achieve Tom's profit objective? Check