Portsmouth Company makes upholstered furniture Its only variable cost is direct materials. The demand for the company's products far exceeds its manufacturing capacity The bottleneck (or constraint) in the production process is upholstery labor-hours. Information concerning three of Portsmouth's products appears below Selling price per unit Variable cost per unit Upholstery labor-hours per unit Recliner 5 1,300 $ 5 8505 9 hours Sofa Love Seat 2,050 5 1,225 1,350 $ 800 14 hours 5 hours Required: 1 Portsmouth is considering paying its upholstery laborers hourly compensation, in addition to their usual salanes, to work overtime Assuming that this extra time would be used to produce sofas, up to how much of an overtime rate per hour should the company be Willing to pay to keep the upholstery shop open after normal working hours? 2. A small nearby upholstering company has offered to upholster furniture for Portsmouth at a price of $47 per hour. The management of Portsmouth is confident that this upholstering company's work is high quality and their craftsmen can work as quickly as Portsmouth's own craftsmen on the simples upholstering jobs such as the Love Seat How much additional contribution margin per hour can Portsmouth earn if it hires the nearby upholstering company to make Love Seats? 3. Should Portsmouth hire the nearby upholstering company? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Portsmouth is considering paying its upholstery laborers hourly compensation, in addition to their usual salaries, to work overtime. Assuming that this extra time would be used to produce sofas, up to how much of an overtime rate per hour should the company be willing to pay to keep the upholstery shop open after normal working hours? Maumum overturnerale per hour Required Required 2 > Portsmouth Company makes upholstered furniture Its only variable cost is direct materials. The demand for the company's products for exceeds its manufacturing capacity. The bottleneck (or constraint) in the production process is upholstery labor-hours. Information concerning three of Portsmouth's products appears below Selling price per unit Variante cost per unit Upholstery labor hours per unit Recher 5 1,300 5 0505 hours Sofa Love Seat 2,0505 1,235 1,355 300 14 hours 5 hours Required: 1 Portsmouth is considerng paying its upholstery laborers hourly compensation, in addition to the usual salaries, to work overtime. Assuming that this extra time would be used to produce sofas, up to now much of an overtime rate per hour should the company be Willing to pay to keep the upholstery shop open after normal working hours? 2. A small nearby upholstering company has offered to upholster furniture for Portsmouth at a price of $47 per hour. The management of Portsmouth is confident that this upholstering company's work is high quality and their craftsmen can work as quickly as Portsmouth's own craftsmen on the simpler upholstering jobs such as the Love Seat How much additional contribution margin per nour can Portsmouth earn if it hires the nearby upholstering company to make Love Seats? 3. Should Portsmouth hire the nearby upholstering company? Complete this question by entering your answers in the tabs below. Reed 1 Required Repared A small nearby upholstering company has offered to upholster furniture for Portsmouth ata pice of $47 per hour The management of Portmouth is confident that this upholstering company's work is high quality and their craftsmen can work as quiddy as Portsmouth's own craftsmen on the simpler upholstering Jobs such as the Love Seat How much additional contribution margin per hour con Portsmouth eam if it hires the nearby upholstering company to make love Seats? Shows Action contain how Portsmouth Company makes upholstered furniture is only variable cost is duect materials. The demand for the company's products far exceeds its manufacturing capacity. The bottleneck for constraint in the production process is upholstery labor. hours Information concerning three of Portsmouth's products appears below Selling price per unit Varsale cost per undt watery labor-hours per wit Malher 1,3005 BS0 hour's Sofa Love Seat 2,050 1.225 1,3505 100 14 hues 5 hours Required: 1 Portsmouth is considering paying its upholstery laborers hourly compensation, in addition to their usual stories to work overtime Assuring that this extra time would be used to produce sofas, up to now much of an overtime rate per hour should the company be Willing to pay to keep the upholstery shop open after normal working hours? 2 Asmall nearby upholstering company has offered to upholsteruniture for Portsmouth at a price of $47 per hour. The management of Portsmouth is confident that this upholstenng company's work is high quality and their craftsmen can work as quickly as hour con Portsmouth earn it res the nearby upholstering company to make Love Seats? Portsmouth's own crainen on the simple prestering jobs such as the Love Seat How muchactional contribution margen per Should Portsmouth hire the nearby upholstering company? Complete this question by entering your answers in the tabs below. ed1 red2 Required Should Portsmouth hire the nearby upholstering company?