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please answer questions completely Value 6.00 points Kanye West, Inc. manufactures a line of hand crafted l Pad covers and an l-Pad stand. Demand for
please answer questions completely
Value 6.00 points Kanye West, Inc. manufactures a line of hand crafted l Pad covers and an l-Pad stand. Demand for the covers is increasing, and management requests assistance from you in determining the best sales and production mix for the coming year. The company has provided the following data: Demand Direct Direct Next year Price Product (units) Materials 23,000 $36.00 $4.20 $4.20 Flash 43,000 $24.00 $1.50 $2.40 Blue $22.00 $5.00 $7.80 Mark 39,000 38,000 $16.00 $2.90 $4.80 Stencil 530,000 $16.00 $1.10 $2.40 Handsfree The following additional information is available: a. The company's plant has a capacity of 151,200 direct labor-hours per year on a single-shift basis. The company's present employees and equipment can produce all five products. b. The direct labor rate of $12.00 per hour is expected to remain unchanged during the coming year. c. Fixed costs total $316,000 per year. Variable overhead costs are $3.00 per direct labor-hour d. All of the company's nonmanufacturing costs are fixed e. The company's finished goods inventory is negligible and can be ignored Required 1. Determine the contribution margin per direct labor-hour expended on each product. (Do not round intermediate calculations. Round your answers to 2 decimal places. Omit the sign in your response.) Contribution Product margin per DLH Flash Blue Mark stencil Handsfree 2. Calculate the the total direct labor-hours that will be required to produce the units estimated to be sold during the coming year. (Do not round intermediate calculations.) Tota Product DLHs Flash Blue Mark Stencil Handsfree Total DLHs required
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