The Waldorf Dolls Company manufactures a line of dolls and doll dress sewing kits. Demand for the dolls is increasing, and management requests assistance from you in determining an economical sales and production mix for the coming year. The company has provided the following data: The following additional information is available: a. The company's plant has a capacity of 13,000,000 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 P8.00 per hour is expected to remain unchanged during the coming year. c. Fixed Costs total 520,000 per year. Variable overhead costs are 2.00 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. Requirement: (1) Determine the contribution margin per direct-labor hour expended on each product (2) Prepare a schedule showing the total direct labor-hours that will be required to produce the units estimated to be sold during the coming year. (3) Examine the data you have computed in (1) and (2). How would you allocate the 13,000,000 direct labor hours of capacity to Waldorf Dolls Company's various products? Is the current capacity enough to satisfy the estimated current demand? If there is a constraint, the production of which product must be reduced and by how many units? Why? (4) What is the highest price, in terms of a rate per hour, that Waldorf Dolls Company would be willing to pay for additional capacity (that is, for added direct labor time)? (5) Assume again that the company does not want to reduce sales of any product. Identify ways in which the company could obtain additional output. Assume the following production related data for the entire demand for the Bella Doll: Requirement: (6) Compute and write an analysis of the variances: - Materials : Price, Quantity or Usage, Spending Variance - Labor \& Overhead: Rate, Efficiency, Spending Variance (7) How much is the total spending variance of the period for the Bella Doll? What are the possible causes of such materials, labor, and variable manufacturing overhead variances? (8) Based on your variance analysis, what can you recommend