Problem 12-25 Volume Tre-Off Decisions [L012-5, LO12-6] 60,000 $ 33,50 36,000 $18.00 350,000 $10.50 0.96 ny's plant has a capacity of 164,990 direct labor-hours per year on a si d costs are $4 per direct labor costs total $635,000 per year. Variable e. The c b. The direct labor rate of $8 per hour is expected to remain unchanged during the coming year c. Fixed manufacturing costs al $635,000 per year. Variable overhead costs are $4 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. How many direct labor hours are used to manufacture one unit of each of the company's five products? 2. How much variable overhead cost is incurred to manufacture one unit of each of the company's five products? 3. What is the contribution margin per direct labor-hour for each of the company's five products? 4. Assuming that direct labor-hours is the company's constraining resource, what is the highest total contribution margin that the company can earn if it makes optimal use of its constrained resource? 5. Assuming that the company has made optimal use of its 164,990 direct labor-hours, what is the highest direct labor rate per hour that Walton Toy Company would be willing to pay for additional capacity (that is, for added direct labor time)? Complete this question by entering your answers in the tabs below. Rquired 1Required 2 Required 3 Required 4 Required 5 How many direct labor hours are used to manufacture one unit of each of the company's five products? (Do not round intermediate calculations. Round your answers to 2 decimal places) Sewing Kit Sarah Debbie Trish Direct labor hours per unit Pre 6f 7 Next > in tha company can earn if it makes optimal use of its constrained resource? 5. Assuming that the comp y has made optimal use of its 164,990 direct labor-hours, what is the highest direct labor rate p that Walton Toy Company would be willing to pay for additional capacity (that is, for added direct labor time)? Kit 4. Assuming that direct labor-hours is the company's constraining resource, what is the highest total contribution margin that company can earn if it makes optimal use of its constrained resource? 5. Assuming that the cc any has made optimal use of its 164,990 direct labor-hours, what is the highest direct labor rate pe that Walton Toy Company would be willing to pay for additional capacity (that is, for added direct labor time)? Complete this question by entering your answers in the tabs below. Requ What is the contribution margin per direct labor- hour for each of the company's five products? (Do not round intermediate calculations. Round your answers to 2 decimal places.) Sewing Kit Debbie Trish ibution Margin per DLH Required 4> 4. Ass company can earn if it makes optimal use of its constrained resource? 5. Assuming that the company has made optimal use of its 164,990 direct labor-hours, what is the highest direct labor rate p that Walton Toy Company would be willing to pay for additional capacity (that is, for added direct labor time)? uming that direct labor-hours is the company's constraining resource. what is the highest total contribution margin that Complete this question by entering your answers in the tabs below Required 4 Required S Required1 Required 2 Required 3 R Assuming that direct labor-hours is the company's constraining resource, what is the highest total contribution margin that the company can earn if it makes optimal use of its constrained resource? (Do not round intermediate calculations. Round your final answer to a whofe dollar amount. Highest total contribution margin 5 K Required 3 4. Assuming that direct lat hours is the company's constraining resource, what is the highest total contribution margin that th company can earn if it makes optimal use of its constrained resource? 5. Assuming that the company has made optimal use of its 164,990 direct labor-hours, what is the highest direct labor rate per that Walton Toy Company would be willing to pay for additional capacity (that is, for added direct labor time)? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4Required Assuming that the company has made optimal use of its 164,990 direct labor-hours, what is the highest direct labor rate per hour that Walton Toy Company would be willing to pay for additional capacity (that is, for added direct labor time)? (Do not round intermediate calculations. Round your answers to 2 decimal places.) per hour