3. Georgia Temps, a large labor contractor, supplies contract labor to building-construction companies. For 2017, Georgia Temps has budgeted to supply 84,000 hours of contract labor. Its variable costs are $10 per hour, and its fixed costs are $168,000. Roger Mason, the general manager, has proposed a cost-plus approach for pricing labor at full cost plus 20%. Read the requirements'. Requirement 1. Calculate the price per hour that Georgia Temps should charge based on Mason's proposal. Begin by determining the formula to calculate the price per hour based on Mason's proposal, then calculate the price. (Complete all answer boxes. Round the price per hour to two decimal places.) (1) (2) Price per hour (3) Requirement 2. On the basis of the additional information, calculate the price per hour that Georgia Temps should charge to maximize operating income. First select the formula that will be used to determine the optimal price per hour, then calculate the total contribution at each price per hour. (4) (5) Total contribution Price per hour at: $ 13 $ 14 $ 16 $ 17 $ 19 The price per hour that should be charged is (6) Requirement 3. Comment on your answers to requirements 1 and 2. Wny are they the same or different? The two different approaches lead to (7) prices in requirements 1 and 2. Pricing decisions (8) demand or market considerations and (9). supply or cost factors. The approach in requirement 1 is (10) The approach in requirement 2 is (11). x x x x 1: Requirements 1. Calculate the price per hour that Georgia Temps should charge based on Mason's proposal. 2. The marketing manager supplies the following information on demand levels at different prices: Price per Hour Demand (Hours) $ 13 128,000 14 106,000 16 84,000 17 78,000 19 69,000 Georgia Temps can meet any of these demand levels. Fixed costs will remain unchanged for all the demand levels. On the basis of this additional information, calculate the price per hour that Georgia Temps should charge to maximize operating income. 3. Comment on your answers to requirements 1 and 2. Why are they the same or different?