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The Walton Toy Company manufactures a line of dolls and a sewing kit. Demand for the company's products is increasing, and management requests assistance from

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The Walton Toy Company manufactures a line of dolls and a sewing kit. Demand for the company's products 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 avallable: a. The company's plant has a capacity of 155,110 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 $9 per hour is expected to remain unchanged during the coming year. c. Fixed manufacturing costs total $605,000 per year. Varlable overhead costs are $5 per direct labor-hour. d. All of the company's nonmanufacturing costs ore fixed. e. The company's finished goods inventory is negliglble 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 5. Assuming that the company timal use of its constrained resource? Waiton Toy Company would be willing to pay fol ase of its 155,110 direct labor-hours, what is the highest direct labor rate per hour that 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 company can earn if it makes optimal use of its constrained resource? 5. Assuming that the company has made optimal use of its 155,110 direct labor-hours, what is the highest direct lal 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. 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.)

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