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The Walton Toy Company manufactures a line of dolls and a doll dress sewing kit. Demand for the dolls is increasing, and management requests assistance

The Walton Toy Company manufactures a line of dolls and a doll dress sewing kit. 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:

Product Demand Next year (units) Selling Price per Unit Direct Materials Direct Labor
Debbie 68,000 $31.00 $4.50 $4.20
Trish 60,000 $ 5.00 $1.40 $0.77
Sarah 53,000 $44.50 $9.14 $6.30
Mike 34,000 $17.00 $3.80 $4.90
Sewing kit 343,000 $ 9.80 $5.00 $0.42

The following additional information is available:

a.

The companys plant has a capacity of 127,580 direct labor-hours per year on a single-shift basis. The companys present employees and equipment can produce all five products.

b. The direct labor rate of $7 per hour is expected to remain unchanged during the coming year.
c. Fixed costs total $565,000 per year. Variable overhead costs are $5 per direct labor-hour.
d. All of the company's nonmanufacturing costs are fixed.
e. The companys finished goods inventory is negligible and can be ignored.

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The Walton Toy Company manufactures a line of dolls and a doll dress sewing kit. 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: Dema Selling Next year Price Direct Direct Product (units) per Unit Materials Labor Debbie 68,000 $31.00 $4.50 $4.20 Trish 60.000 5.00 $1.40 $0.77 Sarah 53.000 $44.50 $9.14 $6.30 Mike 34,000 $17.00 $3.80 $4.90 Sewing kit 343.000 9.80 $5.00 $0.42 The following additional infomation is available: a. The company's plant has a capacity of 127,580 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 $7 per hour is expected to remain unchanged during the coming year. c. Fixed costs total $565,000 per year Variable overhead costs are $5 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.) Contribution Product Margin per DLH Debbie Trish Sarah Mike Sewing kit 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.) Total Hours Product Debbie Trish Sarah Mike Sewing Kit Total hours required

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